View a FREE sample

This quiz consists of 5 multiple choice and 5 short answer questions through Chapters 8-9.

Multiple Choice Questions

1. In finance, what occurs when a debtor has not met his or her legal obligations according to the debt contract?
(a) Forclosure.
(b) Default.
(c) Repossesion.
(d) Refinancing.

2. Who thought that if AIG stopped buying the bonds, the subprime mortgage bond market would collapse, making him a fortune in Chapter 3?
(a) Greg Lippman.
(b) Euguene Xu.
(c) Meredith Whitney.
(d) Michael Lewis.

3. What mortgage lender did an Oppenheimer banker obtain information on from Steve Eisman in Chapter 1?
(a) Citigroup.
(b) Aames Financial.
(c) Gotham Capital.
(d) Bear Stearns.

4. After Eisman's published report, there were no more public subprime mortgage lenders by what year, as described in Chapter 1?
(a) 2007.
(b) 2002.
(c) 2004.
(d) 2006.

5. In Chapter 9 the author writes that it became apparent that no one at Morgan Stanley fully understood the CDO deals, including who?
(a) John Mack.
(b) Jim Beaston.
(c) James Wilson.
(d) Michael Ewing.

Short Answer Questions

1. What is a global financial service company with its headquarters in Frankfurt, Germany?

2. In Michael Burry's first credit default swap, what was the rate of each bond purchased?

3. Where was Ben Hockett on vacation when he hit the internet and quickly began selling the CDOs in Chapter 9?

4. In whose garage did Charlie Ledley begin operating a hedge fund in Chapter 5?

5. What is the title of Chapter 6?

(see the answer key)

This section contains 232 words (approx. 1 page at 300 words per page) View a FREE sample