CHAPTER 1: THE PROBLEM AND ITS SETTINGS

1.1 Introduction

Money plays a vital role in every person’s life. It is the

medium used for exchange, unit of account and store of value
(dictionary.com).It is used to buy goods and materials that are
necessary in life. It can also prevent the sufferings that come
with poverty like cold and hunger, give satisfaction, provides
education and even power. Without it, one cannot buy anything he
needs and wants. Money is a fundamental and indispensable tool
to live in a materialistic world. Only a wise person truly knows
the value of it. Students on the other hand, learn to save their
allowance as they grow and meet different requirements in school
as well as things s they want to buy for their own.

The practice of giving children allowances developed in

the early twentieth century when children’s purchases of movie
tickets, candy and toy raised concern about their spending
habits. During the Progressive Era (1890’s-1920’s), allowance
advocates recommended giving children a regular but fixed supply
of money to inculcate respect for money. Child had endorsed
allowances to encourage benevolence and fiscal responsibility.
Progressive Era child rearing authorities joined a much larger
chorus calling for new money training, regime’s in women’s
magazines and parental advice literature (Child,L.M.,1831).
However, despite the benefits gained by the student of having
allowance, there are problems and disadvantages presents. For
example, a student has poor spending habits. They tend to think
that this is their money and they can do whatever they want with
it. Students have the tendency to spend their allowance on their
recreational activities such as renting a computer unit for fun
and games buying items at the shopping mall and spending money

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for the peers. As a study the proponents seek the effects in
line with the daily allowances of students to their academic
performance.

1.2 Statement of the Problem

This study aims to determine the relationship between the

daily allowance and academic performance of the student among
grade 12 in Mambangnan High School. Specifically this study
attempts to answer the following question.

1. What is the demographic profile of the Grade 12 students of

Mambangnan High School in terms of:

1.1 Age
1.2 Daily allowance
1.3 1st Quarter Grades

2. Is there any significant relationship between the daily

allowance and academic performance of the respondents?

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1.3 Conceptual Paradigm

INPUT PROCESS OUTPUT

Demographic profile Survey Questionnaire Relationship between

of the Respondents  Part I about the daily allowance
 Age their daily and academic
 Daily Allowance allowance performance of the
 1st Quarter  Part 2 about Grade 12 Students
Grades their academic
performance)

1.4 Scope and Delimitation

This research study was limited and conducted only at the

Mambangnan National High School during the first semester of the
school year 2018-2019. The respondents of the study are grade 12
students. The researchers have planned to survey students on all
Grade 12 namely TVL and GAS. The method that the researcher will
use in collecting information will be through survey and
questionnaire.

1.5 Significance of the Study

 To the parents:

This study can benefit the parents by providing insights and

information about the allowance they give to their children and
where they generally use it. This study can inform them as to

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how much allowance is accurate for their children to use it for
their needs.

 To the teacher:

Through this study the teachers address the needs of the

student with appropriate intervention program for students.

 To the students:

This study can serve as an eye opener to them to study harder

even if they have a high or small allowance.

 To the future researcher:

This study will serve as a guide for other researcher as basis

for future studies

1.6 Definition of Terms

 Money- refers to the medium used for exchange unit of

account and store of value.

 Allowance-It refers to the money, given to student that

shall be used for they daily needs and expenses, it is given
by their parents or guardians.

 Fiscal responsibility- refers to the process of managing

money and other similar assets in a way that is considered
productive and is also in the best interest of the
individual or the family or the business.