On top of the tower Orthanc in the fortress Isengard, which at the time was home of Saruman.
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Frodo knows Gandalf because Gandalf was like Bilbo (Frodo's grand-uncle) guardian on Bilbo's adventures. Now, Frodo knows Gandalf through Bilbo.
Gandalf was known by different names to different peoples: Gandalf to Northern men, Mithrandir to the elves and Dunedain (as in Gondor), and Tharkun to the Dwarves. Olorin was his true name as a Maia.
The hobbits of the Shire might describe describe Gandalf as wise, powerful, and fun-filled.(Gandalf is over 3000 years old!)
Gandalf believes in Bilbo, and he says in the book that he wouldn't of brought-en him if he wasn't in good use.
Gandalf gives him a good whoopen