Monday, November 24, 2014

The Journey - from unconscious incompetence to unconscious competence

I make no claims on originality in this post. This just distills ideas I've read over the past year or so in various books. I'll be glad if it helps you on a bad day.

Sometimes when we set out to learn something new, we feel we are getting dumber, not smarter, as we make progress. If we push through these feelings however, often, the results are quite good. We achieve what we set out to do, and more. As optimists like to preach, our failings are most often in dreaming too small, not in dreaming too big and crashing spectacularly. Besides, you only lose when you tell yourself you're lost, and then give up. Otherwise, the clock is still ticking, you are still alive, the goal is still in front of you, and you're still making progress. Anyway, this particular post is not about the power of optimism, or sunshine and rainbows in the land of all success. Rather it is more focused on the journey. The journey from where you are, to where you want to be, and the terrors or unpleasantness you find along the way.

So why exactly do you feel you're getting dumber when you start learning something new? Well, let's see. You want to learn something, so you know you don't know it. This is an improvement vs the earlier state where you didn't even know you didn't know this (let's call it skill X), so already, you have transitioned from your erstwhile state of "unconscious ignorance" to a state of "conscious ignorance". Maybe "ignorance" is too strong a word. Let's call it incompetence instead. So now you're consciously incompetent. That's good news.

Good news?! you ask. Yes of course. Because of the "conscious" part. "The more you know, the more you know you don't know" - and that is not a bad thing. Now you can do something about your incompetence. What? Why, work of course! Work on your conscious incompetence, work hard at it, and eventually it becomes a conscious competence. This is where many people feel the most pain. The journey between those two states. Learning can be fun. But you should give yourself free reign and not pressure yourself unduly - this particularly happens to people who are already masters in some other field, and are not used to "feeling like a beginner all over again" while learning skill X. But when you free your mind to the task, and focus on the learning process, enjoying every bit of it, you learn faster. And lo! there's the state of conscious competence for you.

But is being consciously competent enough? Of course not! You want to keep up the level of practice till you get better and better, and conscious competence becomes unconscious competence. Now you are a true expert. You execute at your peak performance level without even thinking about it consciously, almost on reflex. And this is where you plateau again, till you look for another skill to master. skill Y anyone?

Good luck on your route to mastery!

Tuesday, November 18, 2014

[2021 update] Top 15 tips | Ace the GMAT (and other competitive examinations)!

Previously, this post was titled "How to Ace the GMAT, or What worked for me"

While this blog post is focused on the GMAT, strategies discussed here will work for all competitive examinations. Of course, every person is different, so you should do what works best for you.

Recently, I have been surprised by a few people indicating they found the GMAT difficult, and know at least one person who gave up on their B-school dreams because they thought the GMAT was too difficult a barrier to cross. The latter in particular, is I think a real tragedy so felt compelled to write this post on how to excel in this test.
We have nothing to fear, but fear itself. -- FDR (circa 1933)
Fear of this test is, I think, completely unjustified. The GMAT is truly not that difficult. I understand people put a lot of pressure on themselves, but that is not all bad. It just means they care more about the outcome. If only you can channel that in your favor... you can excel if you study smart, study hard, and are careful as you take the exam. Learn the test, some time management skills and test taking strategies, and you can score in the high percentiles.

"Fear is the mind-killer.
  Fear is the little death that brings total obliteration.
  I will face my fear.
  I will permit it to pass over me and through me.
  And when it has gone past, I will turn the inner eye to see its path.
  When the fear has gone, there will be nothing... only I will remain."
                                                                       -- "Litany against Fear", "Dune" by Frank Herbert



Does it feel like the picture above? It doesn't have to.

My Experience

I took the GMAT after a decade (you read that right) in the work force, while working a very hectic job, and with no exam experience during the previous 10 years. With 3 weeks of studying part-time (okay, just half the time or so very seriously), and 1 week full-time (very seriously), I earned a 750. As I am fond of saying, this is what worked for me, every person is different, so do what works for you, your mileage may vary with the below. But the ideas down here will likely help. So let's get to it...

[Quick note: you do not absolutely need to get a 780 - 800 score to get a top 5 MBA. If people tell you otherwise, ignore them. You need a "good" GMAT score, the higher the better, but yes, every year there are several people with high 700 scores that don't achieve a top 10 admit, and there are several with sub-700 scores that do. Your GMAT score is but one (very important) component of the full admissions package. That said, you want to get as close to 800 as you possibly can.]

Full disclosure - I am not affiliated with any of the authors or companies that prepare any of the material I refer to below and receive no compensation from them. I do support ChiPrime, but their computer adaptive quant preparation materials are completely free, and I do help ensure they are of consistently high quality.

So any advice? Let's see: 

  1. Approach the test with the right attitude. Try not think of it as yet another obstacle on your pathway to success. Think of it as your time to shine. Make sure you put in the hard work to do well in the days and weeks leading up to the test, then approach the test itself with a calm confidence. You've worked hard, so why shy away at the precise time when you should be collecting your reward? Also keep in mind that the GMAT is small potatoes in the grand scheme of things. The top 5 MBA is your prize. Your step to a better career... a better life (OK, it is one way to these goals. I am not denying you can move up via other paths, but presumably you are reading this because you want that MBA). And many factors besides a GMAT score determine your odds when you apply for admission anyway so don't pressure yourself unduly.
  2. Work through the material first increasing accuracy, then efficiency. This holds true both for the verbal as well as the quantitative sections. Being fast and wrong, and being right and so....o slow are both equally good ways to not achieve the objective... and we are taking the test just to achieve the objective, right? Enjoy the journey, and the learning, but with an eye firmly fixed on the destination.
  3. Measure everything - are you doing well on a particular type of question? poorly at another? where are your weaknesses? how are they improving with time? Make certain to keep careful track of this. If you score routinely in the 95-98% range without stumbling, you are close to ready.
  4. Target a perfect score - if you want to score above 700 come test day, you have to believe you are capable of scoring an 800. Your preparation should be that thorough. "Shoot for the sky, that way you will land among the stars." 
  5. Be resolute and determined - let's face it, most of us study for the test while working punishing schedules at full time jobs. You need to want the MBA so bad you can taste it. This fire gives you discipline, that leads to a determination to work as hard as necessary to excel at the exam. "There are two ways of doing things - the right way, and again." - Navy SEAL aphorism. Take the GMAT once only. Make it count.
  6. Learn the test, then pick a date - before starting preparation in earnest, look through what the test entails, how long it is, what the content is, what types of questions are included, estimate realistically how long it might take you to become proficient in the material. Then pick a date. Commit to it. Picking a date will force you to focus.
  7. Use time to your advantage in preparation - start out learning the different types of questions, strategies to solve them, methods of elimination of false alternatives with minimum work, how to maximize accuracy with minimum effort, how to guess effectively, how to do apportion time based on problem difficulty, how to determine when to guess vs when to just suck it up, spend an extra minute, and do the hard work to get the correct answer. Learn to think at the micro level on the question, and at the macro level on the test - when should you give up a question to ace the test? when should you power through the question to ace the test? Thinking this way should become second nature. Eyes on the goal please. 
     
  8. Practice harder than the test - Practice does not make perfect. Perfect practice makes perfect. During the preparatory phase, perfect practice is your goal. Solve the hardest relevant material you can get your hands on as you prepare. Then take the hardest tests first. Finally, make certain you finish the official GMAC guides - all of them - before the exam. These tend to be considerably easier, and you will get the confidence boost when you need it most. I went so far as to take two full GMATs including the essay section, back to back for 5 days or so some time before the test (don't want this to be too close to test day, or you might burn out), trying for 700+ on each. A week of this, and I was no longer afraid of the GMAT. "The more you sweat in training, the less you bleed in war" - Navy SEAL aphorism.
  9. Use the right material - when I took the test, several years ago now, Magoosh wasn't as well known (I don't even know if it existed). I used (to the best of my recollection since it was a while back that I took the test) the GMAC guides (required in my view), "The GMAT advantage with Professor Dave", the Princeton GMAT Premier edition, the Kaplan GMAT Premier edition, and Kaplan GMAT 800. These days I hear Manhattan GMAT prep is the best there is, and Magoosh (I am told) offers the best value. Use whatever you think helps you the most in your weak areas. Kaplan tests are very hard when compared with the real thing, so stresses you into putting in more work early on if you use it right.
  10. Use the material right - find your weaknesses, eliminate them. "Victorious warriors win first and then go to war, while defeated warriors go to war first and then seek to win" - Sun Tzu, The Art of War.
  11. Make smart use of supplementary material - I had a hard time when I started out, particularly with Critical Reasoning questions (was getting about 20% of the questions right, which would never do on test day). Then I read somewhere that the LSATs have the hardest critical reasoning questions available. So I used the Kaplan LSAT Premier guide to practice that. This also has difficult reading comprehension tests as well, and helps build mental muscle.
    copyright-free image from pexels.com
  12. Be present when you take the test - Time is a weapon. Learn to use it. OK, Lance Armstrong is not the hero people thought he was before the drug scandal caught up with him. But I remember clearly in one race when he took a nasty fall, and still finished at the top, he was asked, what were you thinking when you got back on your bike after falling? To paraphrase, he said something like "I told myself, if you want to win the Tour de France, win it today". That is what your mind-set should be going in - not "Oh, I am not so sure how I am doing. That question looks hard, I wonder if I picked the right answer" or "Hmm... mind... wandering... will... this... test... ever... end...?", but "I am here, this is a question I have to solve, I will pick the best answer for it and move on to the next one", and "I have answered one question right, now the next, ... and the next. Bring it." 
  13. Build your stamina, competence, and confidence - you need all three. If you are mentally resilient and confident but haven't studied, you will fail. Have studied well, are well rested and resilient but fear the exam, you will fail (it is natural to be a bit nervous, it just means you care about the outcome... so focus). Have studied well, are confident, but your mind starts to wander half way through, ... same outcome. "Climbing is not about mastering the rock. It is about mastering yourself." - Jim Collins. The same can be said about the GMAT. 
  14. Sometimes it is a marathon, sometimes a sprint - know which parts are which. It is a 4 hour test - you need to be alert and present for all of it. In that sense, yes, it is a marathon. On the other hand, the material is really not that difficult, you cannot study months and months and keep motivated throughout, so you know yourself best, you have to budget time accordingly to peak just when you take the test and ace it. You also need to know which problems to give up on and guess intelligently so you do well overall, and where you need to just hunker down and do the calculations needed to get the answer. In that sense it is a sprint. 
  15. Rock it! - Be careful with your preparation and time it to peak on test day. You are ready. Psyche yourself up for a victory before you go in. Rest well. Think about doing well in each question and the test as a whole. Forget the larger canvas of life. Only you, the clock, and the problem in front of you, exist. Every tick is a step toward successful completion.

Good luck!

To have success that others don't, You have to do what others won't

In summary, work hard on the material, train your mind, and you can actually enjoy the test experience and land a high score, and with a similar focus on your entire admissions package, get one or more M7 admits as well!

copyright-free image from pixabay.com

Sunday, November 9, 2014

Data Interpretation for MBAs

Data interpretation is tested in both the GMAT and the GRE, and with good reason. It is critical that people working in STEM subjects, or going on to lead businesses be able to, at the very least, read and interpret data presented to them in various tables. Of course, more pressing for B-school students is the ability to be able to read and respond to case questions when studying for and completing various courses.

ChiPrime has built an interesting quiz that takes a step towards educating students in this regard. A free (Beta) version can be found here. The graphics in question are all from the Economist website and are from articles hosted by that magazine (copyright is intact - they do not copy or host any images on the site, just link to static images provided by the magazine itself). The Economist has excellent content, and perhaps the best data graphics and visualization of any magazine today. Reading articles from there also helps with reading comprehension and analytical thinking.

Thursday, October 30, 2014

Quant/Programming Interview Question of the Day

These are simple warm up type questions meant to help you prep for interviews. They are each designed to be solved within 3-7 minutes, never more. Questions like these are routinely asked in job interviews where you have to demonstrate even the least bit of quantitative talent. I plan to post a new question every few days, with solutions before posting the next question. [While I try to provide sources for every question if I am aware of them, some of these were either asked by, or asked to, friends in interviews, so I cannot always definitively say which book they came from.] Good luck with your preparation and to landing the job of your dreams.

Edit: while I started posting questions with solutions, speaking with some candidates sometimes leads me to believe a lot of people tend to simply read the questions and solutions, and this does more harm than good. So going forward, I will still post questions as regularly as I can, but solutions only relatively infrequently.

Question for 2 Feb 2016:
A spherical shell is constructed such that the outer radius is equal to that of a circumscribing sphere for a cube of side S, and the inner radius is equal to the radius of the largest completely contained sphere in the same cube. If two regular tetrahedra (four equilateral triangle faces) T1 and T2 are constructed with corresponding parallel faces such that T1 is the largest one that can be contained in the outer bound of the spherical shell, and T2, the largest one that can be contained in the inner sphere, the volume enclosed between T1 and T2 is?

Question for 31 Jan 2016:
Derive tight lower and upper bounds for the sum sigma(i=1 to N) sqrt(i). i.e. sqrt(1)+sqrt(2)+...+sqrt(N). What about the sum sqrt(1/1)+sqrt(1/2)+sqrt(1/3)+...+sqrt(1/N)?

Question for 25 Jan 2016:
You enter a casino with $1,000,000. You repeatedly spin a "fair" roulette wheel wagering $1 each time on red or black. The wheel has 18 red slots, 18 black slots, and 2 white slots (marked 0 and 00). Each time you win, you get $1 plus the money you wagered, when you lose, you get back nothing. You leave happy if you make $100, you leave sad if you go broke (lose all $1,000,000). Which is more likely? Why?

Question for 20 Jan 2016:
There are N boys and N girls in a group of 2N people. Each boy has a list of the N girls ranked in decreasing order of preference. Each girl has a list ranking each of the N boys in her order of preference as well. Is there a way to ensure the creation of N pairs each with a boy and girl, such that no boy B has a better preferred girl X than the one he is paired with, where X also prefers him to her own boy B'? Explain an algorithm to achieve this.

Question for 18 Jan 2016:
You are given a 22 ounce glass and an 11 ounce glass. Can you measure out 4 ounces exactly using these two glasses? How, or why not?

Question for 17 Jan 2016:
Given an n x n square grid or chessboard (n=2^k), with any one square removed. Prove that it can always be completely tiled with L-shaped tiles each made up of three 1 x 1 square tiles.

Question for 16 Jan 2016:
Is it possible to arrange the dots on the faces of two dice such that they are completely different from each other, but yet, when they are rolled together, the probability of obtaining every "score" is the same with the modified pair of dice as it is with the original pair? [variant of the Sicherman Dice problem.]

Question for 16 Jan 2016:
In how many ways can you make change for a dollar (100 cents) using half-dollars (50 cents), quarters (25 cents), dimes (10 cents), and nickels (5 cents)? [Note: an elegant solution would use generating functions.]

Question for 14 Jan 2016:
Alice and Bob pick natural numbers p and q respectively completely at random uniformly from the range [2, inf). What is the probability that the larger of p or q is a multiple of the other?

Question for 6 Jan 2016:
The integers 1 through K, both inclusive, are arranged in a circle. You start at 1, then remove every mth integer from the circle, continuing with this operation till you are left with only one integer. Write a program that takes integers K and m, and returns the single integer you are left with at the end.


Question for 13 Dec 2015: [source: Quora]
Which is greater? The number of molecules of water in a glass, or the number of glasses of water in the ocean? You may choose any reasonable volume for a typical glass to perform your calculations.

Question for 20 Aug 2015: 
1. Write a program to lexicographically sort a list of integers without using strings. (5 mins)
     e.g. [1,11,121,1211,20,22,221,33] etc
2. Write a function that reverses the digits of an integer again without using strings. (3 mins)

Question for 30 Jun 2015: 
There are three cops (C) and three thieves (T) on the right bank of a river. A boat is also moored to the right bank at the start. They need to get to the left bank. The boat can carry at most two people at a time. Cops are only safe if there are equal in number, or outnumber the thieves. Write a computer program that gives a sequence of crossings that is feasible without the cops getting attacked. [You have 20 minutes to write, debug, and run the program.]

Question for 26 Jun 2015:
In how many ways can you sample 3 letters from the English alphabet without replacement, such that the three are in lexicographic order?

Question for 20 May 2015: 
Tommy goes completely unprepared for a 20 question multiple choice (4 options per question) quiz, and guesses randomly on each question without leaving any out. If each correct question is scored with 1 point and there is no negative marking, what is the probability that Tommy passes the test given the passing grade is 50% or more? What if there was a 1 point negative marking per incorrectly answered question as well?

Question for 7 Apr 2015: [credit: Quora]
Given a set of N people with birth dates and death dates (where applicable) - all between 1900 and 2000 inclusive - for people in this set, write a program that tells in which year the largest number of these N people were alive at the same time.

Question for 5 Apr 2015:
Given a sorted set of 1000 numbers, describe an efficient algorithm to generate a random permutation of this set - such that the random permutation has equal probability of being generated as any other random permutation that might be produced.

Question for 1 Apr 2015: 

  1. Write equations using any mathematical symbols of your choice, and three of each number 1-9 to equal 6. E.g. write 9 equations using {1,1,1}, then {2,2,2}, ..., then {9,9,9}, but in each case, the equation must evaluate to 6.
  2. Write equations using any mathematical symbols of your choice, and three 9s each time, such that the equations evaluate to numbers from 1-9 both inclusive.

Question for 25 Mar 2015: 

Prove that there are infinitely many prime numbers.

Question for 25 Mar 2015: 
  1. Solve x = sqrt(2+sqrt(2+sqrt(2+ ... to infinity)
  2. Write a Python program to evaluate the expression in (1) to prove your answer is correct.

Question for 15 Mar 2015: 

  1. Solve x = 1+2/(1+2/(1+2/(1+2/.... to infinity)
  2. Write a Python program to evaluate the expression in (1) to prove your answer is correct.


Question for 10 Mar 2015: 

  1. Write a function that takes a string s of some number in base integer p, and returns its decimal representation. [getting this right on your first try is a prerequisite to advance to parts (2) and (3) below.]
  2. Write a function F (x,y) that takes a decimal integer x and returns a string representation of x to base y. 
  3. Write a function P (x) that takes a decimal integer x and returns a list of all the prime factors of x - repeating factors appear as many times as they occur.

Question for 4 Mar 2015: 
"Pi Compression". The transcendental number Pi has a never ending stream of non-repeating digits. So one might imagine that it contains absolutely any sequence of digits one might require, within its expansion, at some point in the sequence. Let us suppose you have a file p that has 1000 characters. Further suppose that you reduce this file into a sequence of digits from 0-9 using some transformation. Can you now compress file p by specifying the tuple (x,y) where x is the location in the infinite stream of digits in Pi where the sequence of digits for file p begins, and y is the length of p (whatever it takes to represent your 1000 characters in the numeric representation)? Would this work? Why or why not? [Answer will not be provided.]

Question for 4 Mar 2015: 
You are given an n x n grid of cells where each cell in an instance of the grid is randomly colored either black or white. A grid is called "open" if white cells are connected to form a path from the top of the grid to the bottom - two cells are "connected" if they share an edge. Else the grid is "closed". Explain what algorithm you will use to determine if a given grid is open or not. Implement it.
[Answer will not be provided.]

Question for 2 Mar 2015:  
Write a Python code snippet that asks for a three digit integer as input then returns the sum of its digits. You are given credit proportional to the number of exception cases you handle as you code this. [Answer will not be provided.]

Question for 28 Feb 2015:  (c) ChiPrime
A cube and a sphere can intersect in at most how many points?

Question for 27 Feb 2015:  (c) ChiPrime

Given 4 circles with centers at A, B, C and D each with radius R, which intersect each other in exactly one point P, what is the area of quadrilateral ABCD?

Solution: 
It should be obvious that A, B, C, and D cannot be coplanar. Imagine A and C are centers of two circles that are tangential to one another. B and D can then be circles that are similarly tangential to one another, with the same point of tangency P in any plane containing the tangent line of Circles A and C, or even any plane containing the line joining the centers of Circles A and C. In either configuration, the largest area of quadrilateral ABCD occurs when the two planes containing the circle centers are perpendicular to one another, so ABCD is a square with diagonals of length 2r or sides of length r*sqrt(2) for an area of 2r^2. The minimum area of ABCD would occur when two vertices in either plane are almost coincident with those in the other, giving an area that tends to 0.

Question for 10 Jan 2015:

There are 5 green and 45 red marbles in an urn. You pick blindfolded, ten marbles from the urn, without replacement. What is the probability that exactly 4 of the ten are green?

Solution:
This is an example of the hyper-geometric distribution. The problem cannot be modeled as a binomial distribution because the probability of a "success" event changes with each draw. Please see this wikipedia article for more details. The problem is also discussed and solved there. The answer is given by the expression (5C4)*(45C6)/(50C10) = 0.003964.

Question for 5 Jan 2015:

What is the probability that given a standard deck of 52 cards, a thorough random shuffling of the deck will produce an ordering where not a single card is in the same position (as it was before the shuffle)?

Solution:

This is again a problem of derangements. The ratio of the number of derangements to the total number of permutations approaches 1/e as n increases (beyond about 7 or so). Here we have a deck of 52 cards, so the probability of getting a derangement is about 1/e or about 37%. See this wikipedia article for details.
http://en.wikipedia.org/wiki/Derangement


Question for 2 Jan 2015: 

  1. In a knock-out tournament, if there were 39 matches played in total, how many players participated in the tournament in total?
  2. Using only three 9s and any mathematical symbols you like, write an expression that equals 20.
  3. Using only three 4s and any mathematical symbols you like, write an expression that equals 100.
  4. Using only five 0s, and any mathematical symbols you like, write an expression that equals 120.
Solution: 
I believe all the first three questions came from a book by Peter Winkler, but I don't have it, so I cannot be sure of the source. The last is one I ask(ed) in interviews.

  1. If there are 39 matches played, there were 39 players that lost and one that won the championship, for a total of 40 players (remember, this is a knock-out tournament).
  2. (9+9)/.9
  3. (4*4!+4)
  4. (0!+0!+0!+0!+0!)!


Question for 29 December 2014: 

In a class of 4 students, A, B, C and D, the professor has each student grade another student's homework (of course, no student can grade his own work). How many possible ways can papers be distributed to accomplish this?

Solution: 

The answer is equal to the number of derangements of 4 items, denoted by !4.
The (recurrence) formula for derangements !n=(n-1)(!(n-1)+!(n-2)). So for n=4, we get 9 as the answer, as shown on that wikipedia page.

Question for 3 December 2014: 

  1. Given two strings S1 and S2, how would you determine if one was a permutation of the letters of another?
  2. Given a string S1 with some repeating letters, how would you construct a permutation of S1 that is closest to a palindrome? [a palindrome is a string that reads the same back to front as it does front to back.]

(c) ChiPrime 2014

Solution: 

  1. First compute the set of all letters in strings S1 and S2. If the intersection of these sets is equal to either of S1 or S2, next check if the number of occurrences of each element of the intersection set in each of S1 and S2 is the same.
  2. First, split all characters in S1 into two lists - list X of all repeating letters, and list Y of all non-repeating letters. Now if X contains an odd number of any letter, move it out to Y, so X only has an even number of every letter. Now construct the palindrome string P with one letter each from letters in X (order does not matter here), making sure to end the string with the same letters in reverse order. Plop the set Y in the middle in any order. P is the string you need.


Question for 1 December 2014: 
A domino is a tile that has two positive integer numbers on it, or one number and a blank, where each number is drawn from numbers below and including the maximum number specified. How many unique tiles can be created with a maximum number of 12 on the set of dominos?

(c) ChiPrime 2014

Solution: 
This is a trick question - there are two tricks here. First, remember that though the maximum number in the set of dominos is 12, there is a blank (or zero) as well that needs to be factored in. So the number of dominos with two distinct numbers is given by 13C2=13!/(2!11!)=13*12/2=13*6=78. But that is not all. Recall that in a box of dominos, there is also one domino for each number that has two of the same number on it. This special case gives us 13 more dominos, with digits blank|blank, 1|1, 2|2, ..., 12|12 on them, for a total of 78+13=91 dominos in the box.

Question for 29 November 2014: 
[Quora] What is the probability of selecting two numbers x and y from the entire set of Real Numbers, such that x+y=5?

Solution: 
Thinking geometrically, this is the probability of picking a random point in the x-y plane such that it lies on the line x+y=5. This probability is a very small number, equal to zero for all practical purposes.

(c) ChiPrime 2014

Question for 21 November 2014: 
Given a square A with integer length side s has the same area as circle C with integer length radius r, where both the side and the radius are measured in the same units, what is the relationship between s and r?

(c) ChiPrime 2014

Solution: 
This question is asking whether you can "square a circle" and the answer to that is that it is impossible, per the detailed explanation in the article here.

Question for 15 November 2014: 
You are standing on a ladder with 11 steps to go to the top. You can either go up one step or two steps at a time. In how many different ways can you climb these 11 steps?

(c) ChiPrime 2014

Solution: 
Let us first find the maximum number of two step moves we can make with 11 steps left. This is obviously 5. So the different sets of moves to chose from are all the permutations of:
[1, 1, 1, 1, 1, 1, 1, 1, 1, 1, 1], [2, 1, 1, 1, 1, 1, 1, 1, 1, 1], [2, 2, 1, 1, 1, 1, 1, 1, 1], [2, 2, 2, 1, 1, 1, 1,1],[2, 2, 2, 2, 1, 1, 1], [2, 2, 2, 2, 2, 1].
y
Permutations of n objects, not all distinct are given by:
if there are n1 objects of one type, n2 of another, n3 of a third, ... such that n1+n2+...+nk=n,
then, permutations=n!/(n1!*n2!*...*nk!).

So our answer is: 1+10!/9!+9!/(2!7!)+8!(3!5!)+7!/(4!3!)+6!/5!=1+10+36+56+35+6=144 ways.

(c) ChiPrime 2014

Question for 12 November 2014: 
[due to Martin Gardner?] ABCD-A'B'C'D' is a cube where ABCD is a square A is the origin, and AB, AD, and AA' are coincident with the x-, y-, and z- axes respectively. BB', CC' and DD' are parallel to AA'. What is the measure of angle A'C'D?

Solution: 
Both A'C' and C'D are diagonals of their respective surfaces, as is A'D. So triangle A'C'D is an equilateral triangle, and the angle A'C'D is 60 degrees.

(c) ChiPrime 2014

Question for 9 November 2014: 
In how many ways can different cubes' faces be painted with three colors (say red, yellow and blue), painting two sides with each, so you get distinct color configurations where reorienting a colored cube will not result in another cube from the set?

(c) ChiPrime 2014

Solution:
Take a cube, paint opposite planes with the same color. This is one.
The second cube, paint three pairs of two adjacent sides each separated by a single edge, with the same color.
Next, take three other cubes, paint the first one with two opposite faces red, then the two pairs of remaining adjacent sides with yellow and blue respectively. Then paint the second of these three cubes with opposite faces colored yellow, and two pairs of remaining adjacent sides with red and blue respectively. And finally, the third of these three with opposite faces colored red and two pairs of remaining adjacent sides with yellow and blue respectively.
With this set of five cubes as a basis, you can achieve all other configurations by reorienting cubes from this set.

Challenge question to interested programmers:
Write a program to find the above solution. Not too easy!

(c) ChiPrime 2014

Question for 6 November 2014: 
What is the probability of selecting a random three digit number such that the three digits in order from left to right, are in geometric progression? What is the probability if the "in order" restriction were removed?

(c) ChiPrime 2014

Solution: 
For both cases, all numbers of type ppp where p is a digit, satisfy the condition with common ratio=1.
For the first case, numbers like 124, 139, 248, 469 and their palindromes qualify. Giving us 17 numbers that qualify from 900 numbers, for a probability of ~0.019.
For the second case, in addition to the numbers above, distinct permutations of digits of qualifying numbers also qualify, so we also get 142, 193, 214, 241, 284, 319, 391, 412, 428, 482, 496, 649, 694, 824, 913, 946. (each 3 digit number has 3!=6 permutations, of which 2 are already covered previously, so 4 more cases exist for each of the numbers with different digits = 4*4=16). So a total of 33 (=17+16) numbers qualify for a probability of 33/900=~0.0367

You can also write simple code to solve for this as below:

import os, sys;

cnt=0;
r,u=[],[];

for i in range(100,1000):
 s=str(i);
 a,b,c=int(s[0]),int(s[1]),int(s[2]);
 z=[int(s[0]),int(s[1]),int(s[2])];
 z.sort();
 m,n,p=z[0],z[1],z[2];
 if b!=0 and c!=0 and a/float(b)==b/float(c): r+=[i];
 if n!=0 and p!=0 and m/float(n)==n/float(p): u+=[i];
 cnt+=1;

print "The probability with the in-order restriction:", float(len(r))/cnt;
print "The probability without the in-order restriction:", float(len(u))/cnt;

(c) ChiPrime 2014

[2021] 1000+ Free GRE/GMAT Quant Problems in Computer Adaptive Test Format

Adaptive tests are on the rise. These usually employ a ratchet function that increases the level of difficulty when a question is answered correctly, and presents easier questions when a question is answered incorrectly. The test then presents every candidate with the same number of questions in the allotted time, just scores easy, medium, and hard questions with different number of points each, and the final score is meant to represent one measure of the competence of the candidate in the area being tested.

copyright free image from pexels.com

Here is an example of an adaptive quant test of the type that is commonly administered to GRE and GMAT candidates. Use it free. 

The test there gives you 5 questions at a time, and then gives you an indication of the total time you took to answer the questions as well as how you did when compared to the rest of the people who took the test. Of course, as you progress through the test, being adaptive, there will be a bump up or down depending on whether you answer a question correct or wrong.

copyright free image from pixabay.com

The tests are 5 questions each so you can fit at least one into your busy day. It pulls randomly from a pool of 1000+ questions, so the likelihood that you see a question repeat is small - depending of course on how many tests you take on the site. The hard questions can be really hard though, so be prepared to focus, spend some mental energy, and work through it. 

In another post in this blog, I discuss top 10 tips on how to prep to do well on the quant sections of competitive examinations. 

Incidentally, if you are looking at going to interviews for a quantitatively focused job, this might be another resource that could be useful. Here's a youtube video where ChiPrime solves the problem: 

A circle C of radius R is such that its center is inside a square of side 2R. The smallest and largest probabilities of picking a point in S such that it also lies in C are?



There are many other problems relevant to GMAT/GRE Quant prep that are solved in that channel as well - some easy, some not so easy, just like you're likely to see on the test. Good luck! 

Sunday, October 12, 2014

Rise of the Machines, or Why I can never trust Facebook with my content

Famous quote from the Facebook CEO about people who trust him is here. Pays to keep that in mind as you read the below.

Recently there was a bit of a hue and cry over some "research" that Facebook did using their user base. Apparently, in an effort to determine how users react to positive and negative messages they see in their daily feeds and how this influences the kinds of messages they themselves post to the social media network, Facebook researchers presented some of their audience with negative messages and others with positive ones, then saw that it was indeed the case that the messages people were exposed to did in fact influence the said people's posts going forward.

This isn't the first time Facebook is accused of something like this. Why, just a couple of years ago there was another set of news stories about how Facebook tried to influence their users' choices regarding whether or not they checked the donor option on the backs of their drivers licenses. However that was largely viewed as a positive example of peer pressure and was analyzed extensively here, here, here, and here

The latest scandal, reported here among other places, just goes to show that people (and by this I mean smart people who work together at large corporations, who think they are smarter than the average person outside their firm), will misuse data they have available to them unless they are legally prohibited from doing what they think they can get away with. In many cases, the existing laws are not designed to account for the fact that so much data can be aggregated at any one place. Companies like Facebook, and Google in particular, have so petabytes or more of data at their disposal, collect as much of the good machine learning, data analysis, programming and analytics talent as they can, and what they can do with the two things together makes it very scary indeed.

Before companies like Google grew to the size they are now, or had access to data or talent like they do today, Telecom companies in the USA, the likes of Sprint, Verizon, AT&T etc had the opportunity to build similar kinds of databases and services to leverage off of them. However, regulations pertaining to phone companies were still quite stringent, and many of these firms felt gathering and using user data without explicit permission being granted to them by the said users could expose them to litigation. So while many of the kinds of services we see today were available in telecom research labs even in that period, they were usually not deployed in the real world without explicit opt-in permissions from users, which led to their proliferation being very limited.

That said, between Google and Facebook, if one relies on mechanical data mining and adaptive algorithms such as those implemented in Google Now, while the other relies on the honesty and good intentions of human researchers, I for one would prefer the former, given machines are less likely to use my data with a particular end in mind such as testing psychological behavior in the aggregate across large user populations. Even given this however, best not to have anyone use my data against me at all. If I need something, I will pull it myself from the Internet. The network, learning too much about me to deliver what I might need before I need it is extremely creepy indeed, especially if I have to petition some company to get my data "forgotten".

"Those who surrender freedom for security will not have, nor do they deserve, either one."
                                                                                                              -- Benjamin Franklin
The same can be said about Freedom and Convenience.

Notice a new phenomenon? Earlier when you bought a phone under contract, it used to feel like your phone company owned the device. Now when you buy a phone, if it is a Google phone or an iPhone, even without a contract, it feels like you're leasing the device from one of those companies. When you buy a computer running Windows 8, it feels like you're leasing the device from Microsoft - you even need a Hotmail account to sign in to it. Why? Aren't you paying enough money to buy your phone or computer outright? Feels like a step backward into a different set of walled gardens to me. 

Thursday, August 21, 2014

Sample behavioral interview questions

Sample Behavioral Interview Questions
1.       Tell me about yourself.
2.       Why should we hire you? Why should we not hire you?
3.       What are three of your greatest strengths? Weaknesses?
4.       Tell me about a time when you had to work with someone you did not get along with. How did you handle the situation? (conflict management)
5.       Tell me about a time when you had to overcome a significant challenge at work. How did you manage?
6.       Describe a situation when you had to deliver bad news or report a significant problem with a project to your boss or to a client.
7.       Which one of your accomplishments are you most proud of and why? Tell me about a time when you failed.
8.       If there was one thing you could change about your resume’ what would it be and why?
9.       What was the hardest decision you have ever had to make? How did you manage that situation?
10.   One of your direct reports, while an excellent worker, is not a cultural fit with the firm. Describe what you would do to remedy the situation.
11.   Tell me about the project (preferably from your resume’) you are most proud of, your role in it, the challenges you faced, and the learnings you gleaned from it.
12.   Tell me something about yourself that is not on your resume’.
13.   What is your ideal job? What kind of manager would you like to report to?
14.   If we offered you the job right now, would you take it? Why or why not?
15.   What did you do in terms of extra-curricular activities? Any volunteering or social activities?
16.   Tell me about your most favorite and least favorite classes in college. Why those particular ones?
17.   Who is your favorite <person from field you’re interviewing for>? Why? If you could pick one person living or dead to have dinner with, who would it be, and what would you talk about?
18.   Have you ever been in a situation where you were asked to do something you weren’t sure was morally right? Explain how you handled it.
19.   Tell me something from your resume’ that, in your opinion, makes you stand out from the candidate pool for this position.
20.   Did you ever have a major conflict with a boss or other authority figure? Tell me about it.
21.   Are you interviewing at other places? In other industries? Why do you want to work at our firm or in our industry?
22.   Tell me what your understanding is of what someone employed in the position you are interviewing for, would do on a day to day basis.
23.   If I spoke to your boss or co-workers today, what are some adjectives they would use to describe you?
24.   You are working on a project where the team lead (you feel unfairly) repeatedly rejects every idea you put forward. What would you do?
25.   A colleague of yours has stolen your work, presented it as her own and has gotten promoted for it. What would you do?
26.   Do you have any questions for me?

Tuesday, August 19, 2014

Want to ace GMAT or GRE Quant? Try these

Quiz 1
Quiz 2
Quiz 3

New!!!: ChiPrime Prep on Reddit!

Want more? Try this free app: Simple GRE/GMAT Math Test
Or this website that hosts the same content in mini-quiz format:  GRE/GMAT Simple Quant
Or in adaptive quiz format (Beta)!

Want to prepare for the verbal section of the GRE? Try this: GRE Word Test (new link!!! different quiz every time you visit)

Still more practice? Try this book. Questions get much harder as you progress. Suitable for IIT-JEE screening test preparation too.

100 Sprints to Math Success: Conquer the Quant Section of the GMAT and the GRE

Monday, August 4, 2014

Programming Language Questions


These are purely questions about programming languages themselves along with a little about data structures and applications thrown in for a little additional flavor. For more puzzle type or coding level questions, please see my other post on "Quant Interview Questions". What follows are questions one can typically expect to be asked in phone-screens or in early warm-up for technical interviews. This is a very non-exhaustive list, I will add more to these as time permits.
  1. what is a procedural language? a functional language? what is the difference between the two?
  2. what is a pointer? what is an array? when would you use one or the other?
  3. what is garbage collection? give an example of where this might be used.
  4. what is an object? a class? what is a class variable?
  5. what is a virtual function? a pure virtual function?
  6. what is the difference between a method and a function?
  7. what is a partial function? give me an example.
  8. what is a friend function?
  9. what is a mix-in?
  10. what is inheritance? what is multiple inheritance?
  11. can you illustrate with an example how you would implement multiple inheritance in Java? in Python?
  12. what is introspection? can you illustrate with an example?
  13. can you think of any language that would allow you to create a variable from a text string a user types in at a program prompt? how would you implement this? (hint: this is easily done in Python)
  14. what is the difference between passing a variable into a function by reference vs. by value?
  15. what is a static variable? what is a class variable? what does the C-keyword "volatile" indicate? where is it used?
  16. how can you tell the direction of stack growth on your computer? incidentally, does this tell you about the direction of stack growth on your computer, or given the context of your compiler?
  17. what is a dictionary or hash table? give an example of its use.
  18. what is an interface? what does serializability mean?
  19. what does a pickling operation represent? how would you use it?
  20. what is a hashing function? how would you use it?
  21. what is operator precedence? what is operator overloading?
  22. what is polymorphism? illustrate with a simple example.
  23. what are software patterns? give me a simple example.
  24. what is TCP/IP? what is a socket?
  25. when would you use TCP vs. UDP? can you have two separate programs listen on the same socket, one for TCP and the other for UDP, at the same time?
  26. what is a list comprehension?
  27. what is a lambda expression?
  28. what is the most efficient method to sort input data that is guaranteed to be neither sorted nor reverse sorted?
  29. what is the most efficient method to find an element in a long list of data elements?
  30. (***) what is a Bloom filter? how is it used?
  31. (***) what is a Kalman filter? how is it used?
  32. explain a socket life-cycle at the server side (bind, listen etc...) for a multi-threaded server. do the same at the client side. 
  33. what is an assert? what is exception handling?
  34. what is a critical section? what is the pigeonhole principle?
  35. what is a semaphore? when would you use setjmp and longjmp in C?
  36. what is a Turing Machine? what is the Turing Test?
  37. what does a try-finally block let you do in Java?
  38. what is a "Duff's device"? How would you implement a case statement in Python? 
  39. what is recursion? explain with an example.
  40. how would you write a function that takes multiple, variable number of arguments. illustrate with an example.
  41. what is idempotence?
  42. what is the difference between public, private and protected variables in a class?
  43. what is a structure? a union? a typedef? an enum?
  44. what is a generic? what is a template? how would you use them?
  45. what is a list? a stack? a deque? a tree? how would you build a tree in Python?
  46. what is a livelock? what is a deadlock? what is the difference between the two?
  47. what does the term "thread-safe" mean to you?
  48. can a program be a client and a server at the same time? give an example of how this might work.
  49. what is monkey patching? in what kinds of languages could this work?
  50. explain the difference between final, finalize, and finally in Java.

Thursday, July 10, 2014

Basic Financial Securities - a very basic quick lesson in Finance

Let us say Alice and Bob want to start a business. Alice contributes $3,000 and Bob $5,000. Let's say for sake of argument they work equally hard at the business and make $800 in profits at the end of the month after taxes. So what is each person's share? Fairness dictates that the profits be split among the parties in the ratio of their contributed capital (or risk they took going in). Thus, Alice makes $300 and Bob gets $500. This is the basic idea of a Partnership.

Stocks
Now let's say Alice and Bob's business, ACME, needs more capital to expand. They need to raise it from other sources. They could ask friends and relatives. They could go to a bank. Let's say for argument that they issue shares or equity in the business. These shares would normally be placed by a bank or a group of banks that a. advice ACME on what a suitable price should be for the shares, and b. do a roadshow to market ACME to potential clients to informally see what price ACME shares can command given its growth prospects. This process of investment banks marketing a new company that is coming to market to issue shares is called a roadshow.

After the roadshow, the investment banks advice ACME what a suitable share price might be, how many shares they can issue, and how to go about selling them. Typically, selling shares involves listing the company on a stock exchange and then letting shares start trading (ACME may keep some shares for themselves, and the banks may do the same, per their agreement with ACME). The rest of the shares are sold on the agreed upon day on the stock market in an exchange in a process called the Initial Public Offering or IPO. ACME shares start trading on that day. This is also called the primary market.

After the IPO, ACME shares may be bought or sold on the exchange. This is the secondary market. And prices of these shares may go up or down based on ACME's revenues, sales, margins, future prospects and a whole host of other factors.

So why do people buy ACME shares? They buy these shares because owning a share means owning a part of ACME's business. Let's say ACME was worth $8M when they floated shares, and they have a total of $2M in shares outstanding, havng sold 500,000 shares at $4 each. Then each share owns $4 of ACME's business. If ACME is later worth $8M due to increased sales etc, then the share prices rise proportionately, and the owners of these shares profit.

People may buy shares for another reason as well. ACME may periodically distribute extra income from sales, after all investments in its business and expansion plans are met, as dividends to shareholders. So not only do shareholders accrue capital gains from holding stock, they get a periodic dividend as well, if the company gives one.

Bonds
But what if ACME didn't want to issue common stock? ACME could have financed their business growth by issuing debt, called bonds instead. The way this works, ACME (again through banks) approaches the market and says "give us $2M now, and we will pay you back $2M after 10 years, and interest at 5% semi-annually in the mean-time on the principle".

Here, the $2M is split into 2000 bonds each worth $1,000 say, and sold in the debt capital market. The 5% coupon is something the banks consult with rating agencies (who determine the credit-worthiness of ACME and its ability to pay back the loan), that they think the market will bear at the level of risk. Then the bonds are sold in the debt markets, to bond owners called bond-holders.

Let us say for sake of argument the prevailing interest rate is also 5%. These bond holders are each paid $1,000 for a bond, and receive $25 two times a year (semi-annually), and receive at the end of the 10th year, a final payment of $25 and their original principal of $1000.  Of course, if ACME goes bankrupt sometime in these 10 years, then both the coupons (interest payments) and the principal are forfeit by the bond-holders. This is called credit risk. So bond-holders are careful to only buy bonds for good companies, and demand a hefty premium over the prevailing interest rate as at least some compensation for this risk.

... more to come. will keep it very basic for the complete novice.


Interest rate, tax rate

Syndicated Loans


Bonds - maturity, coupon, duration

Treasuries/Sovereigns

Quasi Sovereigns

Corporate Credits

Commodities

Derivatives

Options

Forwards

Futures

Swaps

Monday, July 7, 2014

Zen Stories

The goal of this post is to capture insightful, interesting, inspiring, and uplifting stories. None are composed by the author himself. He simply recounts from memory and past readings, sources long forgotten. Apologies on missing attribution. All errors in the story-telling remain mine alone. I will add more as I find time.


1. "Before I studied Zen, the mountains were just mountains, and the rivers were just rivers. After the first taste of Zen, the mountains were no longer just mountains, and the rivers were no longer just rivers. Now that I understand more of Zen, the mountains are once again mountains, and the rivers are once again rivers."
                                                                                                                                             -- Unknown

2. A traveler approached a monk seated, eyes closed in meditation, prostrated before him, and asked him how long it would take him to get to the next village. "Walk", the monk replied. "That's what I am asking you", the impatient man countered, "how long till the next village?". "Without seeing how you carry yourself, how can I answer?" was the wise reply.

3. Two monks were traveling on a pilgrimage when they came to a small river to be crossed on stepping stones. On their bank, they noticed a shoddily dressed lame woman who appeared to be wanting to cross but unable because of her difficulty. One monk ignored her and crossed the river himself. The other, with some difficulty, carried the woman across and put her down on the other side. The monks then resumed their journey. After going a distance, the first monk asked, "given your vow of celibacy and never to touch a woman, why did you carry her across over there?". The second monk replied, "yes, I did touch her, and yes again, I carried her. But I left her there, while you are carrying her still."

4. As I walked up a beach I saw a girl in the distance doing an odd kind of dance. As I got closer I saw she was picking things up and tossing them back into the sea. Then I noticed that several thousand starfish had beached and she was tossing them one by one into the sea. I asked her what she was doing - "they'll die if they don't get back into the water" she said, "I'm only doing my bit".  I asked her what possible difference it could make when there were so many lying around. "To this one it does" she said, tossing yet another into the sea.

5. A little girl was lost in a small but busy marketplace. When a stranger tried to help her find her mother, she said "my mother is the most beautiful woman in the world". The stranger then took her towards all the beautiful women present, and each time the girl said it wasn't her mother. They then find a rather plain looking woman searching desperately for her child. The girl runs to the woman and hugs her. "We do not love people because they are beautiful. People are beautiful to us because we love them".

6. God promised me he would be with me always. In a dream he showed me my footsteps through my past life, and there were always two pairs of feet walking, except for the most difficult times when there were only one set of footprints visible on the sands of time. I asked Him about this. "My son, these were the times you were not able to go on and I carried you".





Tuesday, January 7, 2014

social media analytics

In this post we study the growing field of social media analytics. In order to address this at least somewhat satisfactorily, we will consider the outline below. All topics will be covered somewhat superficially for the cognoscenti, though in enough detail for the not too deeply initiated, so keep in mind this might either be rather basic, or quite sophisticated, depending on where you are coming from, if you decide to read it.

What is Social Media (for purpose of this post)?

By social media here we refer to all media that exhibit three characteristics:
1. low barrier to entry technology
2. widespread adoption
3. preferably a bi-directional communication channel

What do we think of social media given our definition: the blogosphere, yelp, Twitter, Facebook, Google+, recommender systems like Amazon and Netflix, etc., What are the technologies or media we speak of here? Mostly the Internet (WWW) and Mobile.

What do we mean by Analytics here?

We define Analytics as a means to analyze data to extract intelligent, actionable inferences that will enable us to generate "an edge". You can build an edge in any environment if you collect, analyze, and interpret the correct data correctly. The challenges here are many-fold - finding the right data to collect, then collecting the right data, then identifying the right set of analyses to run on that data, running the analyses correctly, generating intelligent, usable, actionable inferences therefrom, and finally applying the correct actions to build, develop, and maintain an edge in a business to profit from, and leave your competitors behind. Whew! if that sounds like a tall order, it is. Analytics is hard to get right, but also extremely important.

Social Media evolution
Social Media, by its very definition, is a networked platform. This means to grow a social platform, one needs more users over time to offer them services, and one needs services to attract and retain more users - so somewhat of a catch-22. Some of the most successful businesses are Network Platforms. 

  • Google revenues increase many-fold because it is a search platform that also offers advertising. The more it is used for search, the more eye-balls that will see the paid links that appear on the top of search results pages. The more there are ads, the more attractive searches may appear to be especially to people that are looking to buy particular products.
  • Amazon's sales muscle comes from hosting a fantastic platform where it can act as a digital shopfront at the same time gathering actual user reviews and feedback - this is useful not just to potential buyers, but also engenders a feeling of community. And this community attracts more sellers. Recently even Ikea started selling its wares over Amazon. It's a win-win.
  • Facebook brings users together. These users first came together to build a community in a simple platform with limited services. But as users grew, the medium became an interesting place to host/add new services. Now FB is an ecosystem, a platform on which new apps are built - and many other companies, like Zynga, Playdom etc use it as a substrate to grow their own businesses.
  • Twitter - the most prominent micro-blogging service today, helps people share meaningful short commentary, with the world, or a select group of followers, as they like. This works particularly well given how the new digital generations multi-task more, have shorter attention spans, and quicker context switches. We don't tend to think of the old SMS system in telephony as Social Media, but it is based on the same principle - SMS even had VASPs or Value Added Service Providers that were able to deliver jokes, horoscopes or other media of interest to subscribers... for a fee.
  • The number of social media platforms is increasing exponentially (WhatsApp, weChat, Telegram, ...), which is funny when one considers that the number of connected people (these have to have access to technology, sometimes leading edge technology, and large parts of the world do not have this yet), while growing, isn't growing as rapidly. Which means social media penetration among the population that has it is greater than 100% (this remark is made only somewhat tongue-in-cheek).

Uses and Applications of Social Media [Examples to be provided later...]

  • Education - social media debates, multi-player educational games, tutorials over Skype etc
  • Advertising - targeted location based advertising, opt-in ads, micro-targeted ads etc.,
  • Marketing - word-of-mouth marketing, trailers going viral, recommender systems etc
  • Sales - recommender systems, price discovery etc.,
  • Entertainment - finding suitable content socially, viewing together from remote locations etc
  • Services - e.g. weather forecasts, severe weather warnings, reverse 911 etc
  • News - news reporting, flash-mobs, etc 
  • Finance - investment analysis, social media sentiment analysis etc

Risks with Social Media Technologies
Typically, Internet Services need to have at least a simple security architecture in place. This means having components that account for functions such as authentication, authorization and accounting (collectively known as AAA) and non-repudiation, built into the system.

  • Authentication is a process that ensures that you are who you say you are when you request the service. A simple example of this is the use of user-name and password.
  • Authorization is the process of determining that you the authenticated user, has the right to perform the operations you request. For example, if you request that a particular computer log file be deleted, the computer system might not let you perform this action unless you were the systems administrator.
  • Accounting is the process of tracking the authorized actions you perform on the system, and then being able to charge you for these later, within the defined parameters of a billing model or system in place.
  • Non-repudiation is an add-on to authentication in that it ensures that once you say or do something, you cannot later disclaim having done so. In other words, your action is provably tied to your authenticated identity. An example of this is, if Bob digitally signs a document with his private key and sends it to Alice, if Alice holds him to the contents of that document at a later date, Bob cannot say he did not sign that document since only he is supposed to have knowledge of his private key.
A major issue with social media today is that not all of these components are available in all systems, even those with millions or hundreds of millions of users. Users casually and sometimes callously share their most personal and intimate details online, and these can be exploited by unscrupulous elements that abound on the Internet, either for personal gain or for defaming their character. This is a major risk that is quite important in the current social media application setting.


How to mine data from Social Networks
We cover this in a separate post.