Jasper, the whole point of this joke is not just writing English phrases with Russian letters, but word-by-word translation of Russian phrases done by Russian speakers (to be exact, in the 1st phrase it's even worse, because the Russian for "What time is it?" is "Сколько времени?", literally "How much time is it?", not "How much watches" In Russian it would sound like:

- Сколько времени?
- Шесть часов.
- Так много?
- Кому как! (means "that depends", that is "to somebody it may seem a lot, to others - not so much")
- МГИМО заканчивал?
- Спрашиваешь! (means "Hey, dead sure")

The two guys obviously meet somewhere abroad and after exchanging these "English" phrases they both realise they're Russian and even graduated from Moscow Institute of International Relations (now it has a different name). This joke is quite corny, has a number of variations and extremely popular with Russians who study English