Robert,
Here's the link to the 'Embedded answers (Cloze)' type questions on this site:
http://moodle.org/help.php?module=quiz&file=multianswer.htmlHowever, I suspect you've read this already. I found the best way to learn how to make the Cloze type questions was to copy the example in the above link, and then make small changes to the example until I broke it.
I have attached an example of a 'Cloze' type question I made. Note that there are two version of the same item. The first can be copied and pasted into the HTML editor, the second version should be pasted into the simple text editor (i.e. the HTML editor with the 'Toggle HTML Source' button 'on'. I have provided two versions since I have noticed when copying a cloze type question into the
WYSIWYG HTML editor, line breaks tend to get added, which destroys the question.
Also, note that the GIFT import (last time I checked), whilst very good with other question types, can only import one cloze item at a time - one item may of course have lots of blanks or pull-down-menus.
Another point; the number appearing at the beginning of a 'blank' indicates the weighting for the question, and is nothing to do with the question number. So, in the example below the blank has been given a weight of '2'. So, if the blanks all have an equal weight, you don't need to type any number.
{2:SHORTANSWER:%100%CALL#Yes, that's it!~%0%?#What should I __ you? Either lower or UPPER case is OK.}
Finally, as mentioned above, if you have Hot Potatoes, the cloze type question in that is easier to make.