Mac: resetting system and user password

Recently I had to research how to recover my system password on my Mac, I was not thrilled with my findings. With a quick Internet browsing, I discovered that one can reset a Mac system password with the operating system CD, which is provided with any Mac purchase as well as stores like Apple, BestBuy, etc. 
I had the urge to call the Apple support because I did not believe that Apple would have such a naive fix to a significant issue like a system password. More importantly there is no data loss after reseting a system password from the bootable CD. Also you have the ability to reset any user account password.
 While it is great that I was able to regain my access to my system password with out losing any data on my computer, it made me rethink about security on my machine. 
Here is how to reset a system and/or user password:
  • Insert the MacOS CD that matches with your Mac OS version.
  • Shut down your Mac
  • press C key + power button.
  • Click Continue for the welcome menu
  • Select Utilities from the upper menu bar
  • Select Reset Password from the Utilities menu.
  • Select HD, which is your hard drive
  • Enter your new password
  • Click on Reset Defaults
  • Click on save button
  • Select Quit Installation CD from the MacOS Install CD

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