|Name: _________________________||Period: ___________________|
This test consists of 5 short answer questions, 10 short essay questions, and 1 (of 3) essay topics.
Short Answer Questions
1. Buffett's views on hostile takeovers included all but:
2. Which was not one of Buffett's big deals in the second half of 1989?
3. Why did Buffett buy into Cap Cities?
4. Capital Cities was a:
5. Salomon grew from 1955 on when they announced:
Short Essay Questions
1. What was the effect of irregularities in the bond trading by Salomon on traders?
2. Buffett's career was based on the Graham and Dodds theory of investing. What are the basis of Buffet's beliefs based on the teachings of Graham and Dodds?
3. What stock did Buffett begin purchasing in 1988?
4. What did Susie do at the age of forty five?
5. What kind of stocks did Buffett look for?
6. Why wasn't Buffett adversely affected by the insurance market problems in 1985?
7. What was the newer Efficient Market Theory?
8. How many people are employed at Buffett's world headquarters?
9. What are referred to as Buffett's sweetheart deals?
10. What was the outcome of the government case against Salomon?
Write an essay for ONE of the following topics:
Essay Topic 1
Is Buffett's home life typical of the lives of other American families? Why or why not? Did Buffett's home life turn out the way he wanted it to?
Essay Topic 2
How did Buffett prosper during the insurance market problems in the 1990s? What did he do that others didn't? Explain the concept of float and how it applied to insurance companies in your answer.
Essay Topic 3
What is an investment partnership? What were the terms of Buffett's partnership? What was his strong point in his sales pitches? Would you have felt comfortable with the terms?
This section contains 680 words
(approx. 3 pages at 300 words per page)