Assume you wish to evaluate the risk and return behaviors associated with various combinations of assets V and W under three assumed degrees of correlation: perfect positive, uncorrelated, and perfect negative. The following average return and risk values were calculated for these assets:

Asset	Average Return, r		Risk (Standard Deviation), s
V	7.9%		4.6%
W	12.7%		9.7%

a. If the returns of assets V and W are perfectly positively correlated (correlation coefficient = + 1), describe the range of (1) return and (2) risk associated with all possible portfolio combinations.

b. If the returns of assets V and W are uncorrelated (correlation coefficient = 0), describe the approximate range of (1) return and (2) risk associated with all possible portfolio combinations.

c. If the returns of assets V and W are perfectly negatively correlated (correlation coefficient = - 1), describe the range of (1) return and (2) risk associated with all possible portfolio combinations.