2. In 1996, Long-Term was two and a half times larger than what company?
(a) Bank of America.
(b) Chase.
(c) Lehman Brothers.
(d) Fidelity Magellan.

3. Who helped Meriwether raise money for Long-Term?
(a) No one.
(b) Salomon Brothers.
(c) Merrill Lynch.
(d) Warren Buffet.

4. In order for Meriwether's Treasury futures investment to work, what did he need market prices to do?
(a) None of these.
(b) Fluctuate drastically.
(c) Converge.
(d) Remain the same.

5. What did banks and investors want from Long-Term?
(a) To be involved.
(b) Regulation.
(c) Client referrals.
(d) It to shut down.

6. What did Black and Scholes use to calculate market change?
(a) History.
(b) In depth financial patterns.
(c) Calculus and computer models.
(d) Meriwether's advice.

7. Where was the London office for Long-Term located?
(a) Mayfair.
(b) Picadilly Square.
(c) Winchester.
(d) Buckingham Palace.

8. What notable company went bankrupt in the 1970's?
(a) Penn Central Railroad.
(b) Penn Weapons Industry.
(c) Penn Coal.
(d) Penn North Distillery.

9. Who gains from working with hedge funds?
(a) The government.
(b) Impoverished countries.
(c) Managers.
(d) Women.

10. How much money did Meriwether need to start Long-Term?
(a) $50 million.
(b) $100,000.
(c) $2.5 billion.
(d) $1 billion.

11. What type of government paper was bought in Italy?
(a) Italian money.
(b) Deeds to monuments.
(c) Floating rate.
(d) Fluctuating rate.

12. Who charged Long-Term much lower fees than other clients?
(a) Brokerage firms.
(b) NYSE.
(c) The Federal Reserve.
(d) The hospitality industry.

13. Meriwether was threatened with what, if his Treasury bill deal did not pan out?
(a) Death.
(b) A lawsuit.
(c) A promotion.
(d) Termination.

14. In 1996, Long-Term had achieved thirty times its what?
(a) Proposed value.
(b) Starting capital.
(c) Original goal.
(d) Debt capacity.

15. What notable invention changed the face of trading in the 1970's?
(a) The computer.
(b) The scientific calculator.
(c) The cell phone.
(d) The video camera.