View a FREE sample

This test consists of 15 multiple choice questions and 5 short answer questions.

Multiple Choice Questions

1. What problems did Buffett have making investments in the mid-1960s?
(a) increased competition.
(b) a massive withdrawal of capital.
(c) there were few good bargains in stocks.
(d) a severe market slump.

2. What newspaper stock did Buffett buy heavily?
(a) Chicago Sun Times.
(b) New York Times.
(c) Miami Herald.
(d) Washington Post.

3. By the time of World War I, what part of the New Bedford labor force worked at the mill?
(a) one third.
(b) one half.
(c) three fourths.
(d) one fourth.

4. What did Warren vow after his involvement with Dempster?
(a) he liked the experience.
(b) he wanted to start a new company.
(c) he would never lay off people again.
(d) he wanted to be a liquidator.

5. What did Warren do with some of the profits from his paper route?
(a) bought forty acres of Nebraska farmland.
(b) vacationed in Miami.
(c) bought AT&T stock.
(d) bought a car.

6. What bad investment did Warren make at this time?
(a) Dempster.
(b) purchasing a house.
(c) National American.
(d) Blue Eagle stamps.

7. As Buffett's income and wealth grew, he:
(a) basically maintained his same lifestyle.
(b) he collected more material things ostentaciously.
(c) he traveled more.
(d) his spending habits changed.

8. The Buffett children describe their mother as:
(a) outgoing.
(b) friendly.
(c) moody.
(d) lenient.

9. What company did the partnership buy that Warren became chairman of?
(a) Control Data.
(b) National American Fire Insurance.
(c) Dempster.
(d) Sanford Map.

10. Buffett told his partners all but the following:
(a) he recommended Sequoia Fund.
(b) he would not act as their financial counsel.
(c) he would continue to manage their money.
(d) he could help place their money in municipal bonds.

11. What did Warren's father tell him when he returned from running away?
(a) improve his grades or give up the paper route.
(b) he was sending him back to Nebraska.
(c) he was grounded for one month.
(d) quit his job as punishment.

12. What step did Buffett take in early 1966?
(a) hired new analyst.
(b) closed the partnership to new accounts.
(c) quit the market.
(d) began a new fund.

13. The Post company controlled all but the following:
(a) Newsweek.
(b) Washington Monthly.
(c) Florida television stations.
(d) Washington Post.

14. What company did Buffett say he would hold for the rest of his life?
(a) Berkshire.
(b) See's Candy.
(c) Wesco.
(d) Diversified.

15. How many partnerships was Warren running by the end of his first year?
(a) four.
(b) five.
(c) nine.
(d) three.

Short Answer Questions

1. What did Buffett consider to be the most important factor in evaluating a company?

2. Warren increased his paper route by:

3. The SEC inquiry was concerned with:

4. What did Buffett advise his partners of in May 1967?

5. Warren bought all but the following through Berkshire:

(see the answer keys)

This section contains 502 words (approx. 2 pages at 300 words per page) View a FREE sample