Brilliant ideas! However, she does not need to restart my computer because the programs are always open the way I left them in the morning. Meaning, she does it all without restarting. One of the times she was demonstrating her feat, the computer "froze", she claimed - but really it was because she tried entering something wrong 3 times so it went to sleep. So she restarted it by pressing the power button and was able to change the password by the first log-in screen. Thus, she can do her thing without restarting, but it also works if she must restart.
I think I know her trick, if you can confirm something.
Go to System Preferences > Security pane > FileVault tab.
Does it say a master password is set or not set for this computer?
The button will say "Change..." if one is set.
It will say "Set Master Password..." if one isn't set.
The master password can be set AND USED regardless of whether FileVault is enabled on an account.
When a master password is set, someone who knows the password can reset any account's password at the login screen. Simply enter the wrong password 3 times, and observe the password hint appear (if enabled). Also observe the "Forgot Password" icon changes to "Reset Password". Click it. You now enter the master password to reset the user's password. The master password hint will also appear (if any).
The master password is not tied to any specific account. It's stored in a completely different way. The FileVault pane won't let you remove a master password once one has been set. AFAIK, you have to completely replace the OS and data in order to remove a master password, or use Reset Password when booted from the DVD. An "Archive and Install" will NOT affect the master password.