1) No the virtual addresss space is independent of the physical address space. There is a mapping from virtual to physical addresses that is managed by the OS. So the virtual addresses that are assigned to a process do not depend on the physical memory in the system.
2) No, again the virtual address is separate from physical addresses. Also Windows supports virtual memory, so even if you don't have enough physical memory to keep all the processes active memory can be paged out to disk.