CLASS C AIRSPACE INCURSION BY A BE76 TRAINING FLT OFF THE LOC DME RWY 20L ON A MISSED APCH PROC AT HWD; CA.

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THIS FLT SIMULATED A CHECKRIDE FOR A MULTI-ENG ADDITIONAL CLASS RATING WITH INST PRIVILEGES. THE FLT HAD JUST COMPLETED THE LOC RWY 28L APCH; SIMULATING AN ENG INOP APCH; AND WAS CLRED TO LAND ON RWY 28L. IN PREFLT BRIEFING; THE STUDENT WAS INSTRUCTED TO REQUEST A TOUCH AND GO WITH VFR TA'S BACK TO REID-HILLVIEW ARPT. AFTER RECEIVING ATIS; THE STUDENT COPIED THE ALTIMETER SETTING AS 29.97; BUT SET THE ALTIMETER INCORRECTLY TO 29.87; WHICH CAUSED THE ALTIMETER TO READ 100 FT LOW. THIS WAS THE SECOND TIME THE SAME ERROR HAD BEEN MADE AND THE INSTRUCTOR HAD ALREADY BROUGHT THE ERROR TO THE ATTN OF THE STUDENT ON THE PREVIOUS EPISODE. THE INSTRUCTOR NOTED THE ERROR; BUT DECIDED NOT TO BRING IT UP AGAIN IN ORDER TO MINIMIZE THE DISTRS FOR THE STUDENT; SINCE THE STUDENT WAS ALREADY HIGHLY WORKLOADED AND THE WX WAS VMC. THE INSTRUCTOR ALSO DID NOT RESET THE ALTIMETER CORRECTLY. WHEN THE TWR ASKED HOW THE APCH WILL TERMINATE; THE STUDENT REPLIED THAT THE FLT WOULD LAND. THE INSTRUCTOR DID NOT CORRECT THE STUDENT'S XMISSION AT THAT TIME; BECAUSE HE DID NOT WANT TO TIP OFF THE STUDENT THAT HE INTENDED TO ASK FOR A GAR ON SHORT FINAL. SURPRISE IS A KEY ELEMENT OF REALISM IN THE GAR PROC; AS IF SOMETHING APPEARED ON THE RWY AT THE LAST MIN NECESSITATING A LAST-MIN EXECUTION OF THE PROC. ON CLBOUT; THE STUDENT DID NOT COMPLETELY RAISE THE FLAPS. THIS DISTR THE INSTRUCTOR; WHO WAS FOCUSED ON MAKING SURE THE ACFT MAINTAINED CLB AIRSPD AND DID NOT EXCEED 1500 FT MSL. IN THE PREFLT BRIEFING; THE STUDENT WAS INSTRUCTED TO MAINTAIN AN ALT BELOW 1500 FT MSL TO AVOID THE CLASS C AIRSPACE. THE STUDENT CLBED THE ACFT TO JUST BELOW 1500 FT MSL AS INDICATED ON THE ALTIMETER AND THE INSTRUCTOR MADE SURE THE ACFT STAYED BELOW 1500 FT MSL. HOWEVER; HE FORGOT THAT THE ALTIMETER WAS STILL SET INCORRECTLY. THE TWR ASKED THE FLT TO MAINTAIN 1000 FT MSL AT THAT TIME; AND THE INSTRUCTOR THEN REALIZED THAT THE FLT PROBABLY PENETRATED THE CLASS C AIRSPACE. IN ORDER TO AVOID SUCH AN INCIDENT IN THE FUTURE; THE INSTRUCTOR WILL NEED TO BETTER BRIEF THE STUDENT ABOUT THE TPA AT HAYWARD AND THAT HE SHOULD NOT CLB ABOVE THAT ALT OR DEPART THE PATTERN UNLESS CLRED TO DO SO BY THE HAYWARD ATCT. CREATING A WRITTEN PREFLT INFO BRIEFING CHKLIST WILL HELP TO MAKE SURE A THOROUGH FLT BRIEFING HAS BEEN ACCOMPLISHED AND CONTRIBUTE TO FORMING GOOD HABIT PATTERNS FOR STUDENT PLTS.