View a FREE sample

This test consists of 5 multiple choice questions, 5 short answer questions, and 10 short essay questions.

Multiple Choice Questions

1. What does Buffett say about the hostile takeover of Time?
(a) it could have been handled better.
(b) it showed how smoothly the market worked.
(c) it was a good merger.
(d) it was an example of the destructive tactics of the merger era.

2. Susie's absence made life:
(a) made Warren happier.
(b) made Warren more self-sufficient.
(c) difficult for Warren.
(d) game Warren more freedom.

3. Which of the following was not one of the permanent three in Berkshire's portfolio?
(a) GEICO.
(b) Cap Cities.
(c) IBM.
(d) Washington Post.

4. By the end of 1988, the Berkshire share price was approximately?
(a) $1,000.
(b) $2,500.
(c) $8,000.
(d) $5,500.

5. The Treasure sells bonds to:
(a) banks only.
(b) the highest bidder.
(c) the public.
(d) the Fed.

Short Answer Questions

1. Buffett's Graham group, his inner circle, met:

2. How long did Buffett go without buying any common stock after the Cap Cities deal in 1985?

3. If Buffett made a loan to one of his children:

4. How much did Buffett pay for Nebraska Furniture Mart?

5. With zero-coupon bond, the borrower:

Short Essay Questions

1. What are zero coupon bonds that were being used to finance LBO?

2. What kind of stocks did Buffett look for?

3. What were Buffett's views on hostile takeovers?

4. What was Buffett's attitude about sharing his wealth with his children?

5. Why did Buiffett invest in Salomon?

6. How many people are employed at Buffett's world headquarters?

7. What was the outcome of the government case against Salomon?

8. Why wasn't Buffett adversely affected by the insurance market problems in 1985?

9. What did Buffett do with his textile mills?

10. How did Buffett learn about the Nebraska Furniture Mart?

(see the answer keys)

This section contains 641 words (approx. 3 pages at 300 words per page) View a FREE sample