First Interview with Microsoft

I'd applied to Microsoft through our University's career services, which basically asks you to create a profile and fill out all necessary information at www.microsoft.com/careers. I received first correspondence from one of the recruiters through email about a month ago. I was asked to email back to him my updated resume, my schedule, an initial evaluation form which tries to kind of get to know about your interests, technologies you're interested in, your past experience and your desired positions at Microsoft Software Development Engineer/in Test and Program Manager. (SDE, SDET and PM). Once, you send these things back to the recruiter, he will schedule the first interview, usually conducted over phone (or on-campus which ever is feasible). The next email the recruiter sends you is with a bunch of resources like websites, blogs, suggested readings, books etc to prepare from. Since, it's the initial screening, I found that the interviewer basically tries to scan your thinking process. He might throw (vague) questions at you and would try to screen how do you start your thinking process and how do you maintain it, even when you're having hard time responding. Since, the question itself is vague at times, the interviewer will try to extract the succeeding questions from your answers. But, he might ask you to code or ask design or testing questions depending upon which position you're being interviewed for. Usually, they ask you the install Microsoft Office Live Meeting, and will setup a session specifically for you and the interviewer, where you can write code if asked. 
It was a very interesting experience, I got to the library early in the morning and occupied a separate room for individual study, so that I don't have any distractions during the phone interview. I was being interviewed for the SDET position for the Microsoft Office Product-line. I went through all the concepts of software testing, we were taught in the grad-level software testing course at George Mason University, which was a significant help, I believe and since I was already aware of several testing methodologies that gave me an upper edge probably to clear this initial screening. I also did a considerable amount of research on the interviews and the positions Microsoft has, so that I'd already know such details and can ask meaningful questions from the interviewer if he asks for it. 
I recall the following questions which the interviewer asked me. Some of them, I answered really well, and got stuck in some. 

1. What was the most interesting piece of code you've written?
2. What was the most interesting bug you found?
3. What kinds of books you read?
4. What was the most interesting thing you found in those books?
5. What is your favorite software application?
6. If I ask you to suggest any improvements or new features in that software, what would those be?
7. Explain to a group of kindergarten kids, what a computer network is.
8. You're supposed to implement a system for a Recipe book, how'd you design the system?
9. What kinds of suggestions you'd bring to the table that makes this product competitive with other similar products in the market? I was stuck at this one :(.

I hope it helps to who ever is going to be interviewed at Microsoft. Best of Luck.