ST. MARY’S COLLEGE OF BAGANGA INC.

CONCEPTION STREET BAGANGA

DAVAO ORIENTAL

“RELATIONSHIP OF FINANCIAL DECISION MAKING AND BUDGET

PREFERENCES OF TES SCHOLARS STUDENTS OF
ST. MARY’S COLLEGE OF BAGANGA
ON THEIR ACADEMIC PERFORMANCE”

SUBMITTED TO:

DR. CHARMAINE S. LAVARITTE

RESEARCH INSTRUCTRESS

SUBMITTED BY:
GROUP 2

ESPANOL, WILMA
ALVAR, ELDIE BRANDO
ILIGAN, IMELDA
LONZAGA, LENDIE MAE
RABE, JOHN REY
SAMIANA, DONNA
PESALBON, WINWARD
 APPROVAL SHEET

In partial fulfilment of the requirements for the course Bachelor of Science in Business Administration
major in Human Resources Management and Development this study entitled “FINANCIAL DECISION
MAKING AND BUDGET PREFERENCES OF TES SCHOLARS STUDENTS OF ST. MARY’S
COLLEGE OF BAGANGA”prepared and submitted by the following students;

ESPANOL, WILMA SAMIANA, DONNA

ELLDIE ALVAR PESALBON, WINWARD
LONZAGA, LENDIE MAE RABE, JOHN REY
ILIGAN, IMELDA

Has been examined and is recommended for approval and acceptance

CHARMINE S. LAVARITTE, DBA

INSTRUCTRESS
_____________________________________________________________________________APPROVED BY
the committee on oral communication with the grade of_____________
On May 30, 2021
CHARMINE S. LAVARITTE, DBA
BSBA PROGRAM HEAD

S.MA. RACHEL CARUYAG, RVM JASMER ANTING

CAMPUS MINISTRY COLLEGE P.O.D

ACCEPTED AND APPOVED in partial fulfillment of the requirement for the degree of Bachelor of Science
in Business Administration.

S. MA. MERMALIZA M. SHALAH RVM

DEAN OF COLLEGE
 ACKNOWLEDGEMENT

The accomplishment of this research study would not be possible without the valuable help and assistance
of the people whom the author is greatly thankful of heartfelt appreciation and gratitude are expressed to the
following person who greatly contributed to the success of this research study.

To our Almighty Father, of his Grace blessings and his guidance that enlighten our minds specially in times of
hopelessness and troubles.
In our parents, who are always there to support, guide and give us unconditional love and providing our needs.

To Dr. Charmaine Lavaritte P.HD. Thank you for being our teacher as well as our program head, thank you for
understanding, guidance, pieces of advice and efforts for us to finished this study.
To the respondent, thank you for sparing your time to answer the questions given by the researcher.
Your support and cooperation provided to be a landmark to the success of this research study.

Thank you very much.

 TABLE OF CONTENTS

CHAPTER I. THE PROBLEM AND ITS SETTING

Background of the Study
Statement of the Problem
Hypothesis
Relate Literature and Studies
Theoretical and Conceptual Framework
Significance of the Study
Definition of Terms
1. METHOD
Research Design
Research Subject
Research Instrument
Data Gathering Procedure
Statistical Treatment of Data
2. PRESENTATION, ANALYSIS AND INTERPRETATION OF FINDINDS
3. SUMMARY, CONCLUSIONS AND RECOMMENDATION
.

Chapter 1
INTRODUCTION
Tertiary Education Subsidy for Financial Decision making and budget preferences become a major source
of financing for St. Marys College students in Baganga, students financial management skills need to be an
assessed to ensure effective and efficient use of financial resources. Financial constraint is one of the reasons why
many high school graduates are not able to pursue tertiary education, and why a considerable percentage of college
students drop out and are not able to finish their respective degrees. Financial reasons, apart from socioeconomic
status, cultural and social capital, family structure and expectations, and the general organization of the high school
offered some insight as to why students did not attend college (Temple, 2009). Only 40 percent of Filipino high-
school graduates have the financial capability to proceed to college, a problem that is hurting the country’s chances
of achieving sustainable growth (de la Cruz, 2015)

This current plight of the affected students and the education sector have motivated legislators to seek
measures to enhance the distribution of scholarship and other means of financial assistance. Hence, the Unified
Financial Assistance System for Tertiary Education Act, or UniFAST — also known as Republic Act No. 10687,
appropriated a billion pesos budget for tertiary education financial aid. Under this act is the Tertiary Education
Subsidy (TES). According to Lim et al. (2018), the Act aims principally to address dropout rates; there are only a
quarter; of students in higher education graduate at pres¬ent. The Act is meant to help those dropping out because
of a financial shortfall.Before we go deep into the discussion, there is a need to define the terms for discussion. The
term “subsidy” refers to the “funding” of the higher education institute and releasing the grant and loan to the
students studying in the higher education institutes. The funded programs refers to the undergraduate programmes
in this article, unless otherwise specified. Besides, the knowledge and competence developed through initial
schooling and formal higher education for young people would be our focus of discussion.

According to this act, TES may, among others, support the cost of tertiary education or any portion thereof
to cover tuition and other school fees, allowance for books, supplies, transportation, and miscellaneous personal
expenses, including a 179 International Peer Reviewed Journal reasonable allowance for the documented rental or
purchase of personal computer or laptop, and other education-related expenses, and allowance for room and board
costs incurred by the student. This Act’s potential effects go beyond economic efficiency and targeting specific
economic groups. It sends a powerful signal, particularly to poor and struggling students, that higher education is
accessible to all. In principle, the Act allows all Filipinos to access quality tertiary education and commits to
“provide adequate funding,” potentially establishing universal access (Lim et al., 2018).

BACKGROUND OF THE STUDY

Scholarships are award of financial aid to enable students in their academic pursuit and/or further their
education. Scholarships are awarded based on various criteria, which usually reflect the values and purposes of the
donor or funder of the award. Scholarship money is not required to be repaid as it is not loan. However, since
1980s, the use of financial need as the basis for awarding scholarships by the state has been eroding. But in the
developed world, the award of scholarships by the state has been on the increase. In the developed world, between
1982 and 2000 spending on need-based scholarships for undergraduates by the states increased to 7.4 percent
annually, while spending on merit programs increased at a 13.6 percent annual rate. The proportion of state grants
awarded based on merit has risen from 9 percent to 22 percent during this period (Heller, 2002; National
Association of State Student Grant & Aid Programs, 2001).

It is increasingly evident that significant numbers of college students do not complete the courses in which
they enrol, particularly courses with lower entry requirements (ACT, 2012; Mooney et al., 2010). Enrolment
numbers to tertiary education are increasing, as is the academic and social diversity in the student population
(HEA, 2013; OECD, 2013). This adds to the challenge of both identifying students at risk of failing and
provisioning the appropriate supports and learning environment to enable all students to perform optimally
(Mooney et al., 2010). Tertiary education providers collect an ever‐increasing volume of data on their students,
particularly activity data from virtual learning environments and other online resources (Drachsler & Greller,
2012). As a result, the application of data analytics to educational settings is emerging as an evolving and growing
research discipline (Sachin & Vijay, 2012; Siemens & Baker, 2012)

Learning is a latent variable, typically measured as academic performance in assessment work and
examinations (Mislevy, Behrens, & Dicerbo, 2012). Factors affecting academic performance have been the focus
of research for many years (Farsides & Woodfield, 2003; Lent, Brown, & Hacket, 1994; Moran & Crowley, 1979).
It remains an active research topic (Buckingham Shum & Deakin Crick, 2012; Cassidy, 2011; Komarraju, Ramsey
& Rinella, 2013), indicating the inherent difficulty in both measurement of learning (Knight, Buckinham Shum, &
Littleton, 2013; Tempelaar et al., 2013), and modelling the learning process, particularly in tertiary education
(Pardos et al., 2011).
 Cognitive ability remains an important determinant of academic performance (Cassidy, 2011), often
measured as prior academic ability. Demographic data, such as age and gender, have been cited as significant
(Naderi et al., 2009), as are data gathered from learner activity on online learning systems (Bayer et al., 2012;
López et al., 2012). In addition to the data systematically gathered by providers, other factors can be measured
prior to commencing tertiary education, which could be useful in modelling learner academic performance. For
example, models predicting academic performance that include factors of motivation (e.g., self‐efficacy, goal
setting) with cognitive ability yield a lower error variance than models of cognitive ability alone, particularly at
tertiary level (reviewed in Boekaerts, 2001; Robbins et al., 2004).

Research into personality traits, specifically the BIG 5 factors of openness, conscientiousness,
extroversion, agreeableness, and neuroticism, and their impact on academic achievement in tertiary education,
suggests some personality factors are indicative of potential academic achievement (Chamorro‐ Premuzic &
Furnham, 2004, 2008; De Feyter et al., 2012). For example conscientiousness, which is associated with persistence
and self‐discipline (Chamorro‐Premuzic & Furnham, 2004), is correlated with academic performance, but not with
IQ, suggesting conscientiousness may compensate for lower ability (Chamorro‐Premuzic & Furnham, 2008).
Openness, which is associated with curiosity, can be indicative of a deep learning style (Swanberg & Martinsen,
2010). Learning style (deep or shallow) and self‐ regulated learning strategies are also relevant, and have been
shown to mediate between other factors (such as factors of personality and factors of motivation) and academic
performance (Biggs et al., 2001; Entwhistle, 2005; Swanberg & Martinsen, 2010). 

Research has also shown that other psychosocial factors influence academic performance. These include
satisfaction with university, financial situation, career orientation, and social support. Rickinson and Rutherford
(1996) found dissatisfaction with the course of study was the reason most commonly endorsed for leaving
university. Wince and Borden (1995) found satisfaction with university was related to both higher GPA's and lower
withdrawal rates.

College students may face significant financial challenges beyond student loan burdens. For many students,
college is the first time they are responsible for budgeting their spending and many have difficulty making ends
meet. Some of the common problems include not having enough money for food, running out of money prior to the
end of the semester, inability to increase income, and lack of skill in cutting expenditures (Jariah, Husniyah, Laily,
& Britt, 2004). Not only are student loans a concern, but there are also concerns that students are graduating with
greater amounts of credit card debt (Joireman, Kees, & Sprott, 2010)

 In the wake of the 2008 global financial crisis, financial literacy and budgetary control seem more
important now than ever. The financial crisis highlighted weaknesses and lack of financial knowledge on the part
of individuals, which led them to accumulate debts. These circumstances raise the question of whether and to what
extent individuals intend to control their budget and avoid accumulating debts, especially after this crisis. Budget
control or budgeting can be viewed as a strategy for managing personal finances in order to avoid the negative
outcomes of debt accumulation (Lunt & Livingstone, 1991).

The current study, carried out in 2010 after the global financial crisis, analyzes the factors affecting intent
to control a personal budget among Israeli college students. Examining budgeting intentions among students is
important since strong evidence indicates that college students do not possess a high degree of financial knowledge
(Chen & Volpe, 1998; Avard et al., 2005; Jones, 2005; Shahrabani, 2012) and that students have increasing debt
burdens (e.g., Austin & Phillips, 2001; Christie & Munro 2003; Warwick & Mansfield, 2000). Understanding the
factors that influence individuals to maintain a budget may be useful in formulating interventions designed to
reduce debt likely to accumulate due to the lack of money management.

STATEMENTS OF THE PROBLEM

This study wishes to determine the financial decision making and budget, preference of TES Scholars
Students of St. Mary’s College specifically.

1. What is the profile of St. Mary’s Students in terms of

a. Age
b. Parents Income
c. Gender

2. What are the influencing factors in making decision in financial matter of SMC students?

3. Does the SMC students have the full prerogatives in financial decision making?

4. Is there a relationship of financial decision making and budget preferences of TES scholars students in ST.
MARY’S COLLEGE BAGANGA in their Academic Performance?

HYPOTHESIS

NULL HYPOTHESIS: There is no relationship of financial decision making and budget preferences
 of TES Scholars Students in St. Mary’s College Baganga, Inc. in their

Academic Performance.

RELATED LITERATURE AND STUDIES

Financial Decision Making

The first portion of this literature review will detail the various aspects that define a student’s particular
financial circumstances. This includes their understanding of finance, their actual financial habits, their current
balances, their financial aspirations, the main sources of monetary inflows and outflows, and other related
topics.The foundation of any ability or skillset is arguably the relevant knowledge and understanding necessary to
perform such tasks. While financial literacy is certainly an influence of money decisions, the degree to which
college students understand money is also a representation of financial situations. Research indicates that most
people agree that financial literacy is a significant determinant of quality of life and future decision-making
(Brougham, Jacobs-Lawson, Hershey, & Trujillo, 2011). Despite this, college students, along with the general
American population, tend to score very low on tests of financial knowledge (Beierlein & Neverett, 2013; Goetz,
Cude, Nielsen, Chatterjee, & Mimura, 2011; Gudmunson, Zuiker, Katras, & Sabri, 2015; Markovich & DeVaney,
1997).Financial awareness, as a side effect of financial literacy, is another important factor that reflects college
students’ financial circumstances. Research by Brougham et al. (2011) found that, contrary to expectation, students
are able to report figures such as their own credit card balances. However, they struggle more with reporting
broader economic facts such as the current interest rate. Awareness also translates into financial optimism for the
future.

Most people experience some financial tightness at sometime in their lives, but 10 for the poor these
periods are frequent, if not constant, and cumulative. Periods of financial tightness are becoming increasingly more
common and unpredictable as the traditional buffers for the poor from stable housing, jobs and cash safety nets are
cut back or eliminated. This means continuously living on the margin of being either poor or near-poor, and nearly
always at risk of spiraling further into poverty (Masumura, Hisnanick & U.S. Census Bureau, 2005).

Parents
Financial socialization of children begins with parents, since parents are the 􀅭irst-line teachers at home
(Danes and Haberman, 2007; Danes, Sharon, Catherine and Laurie, 1999; Gudmunson and Danes, 2011). Despite
this fact, examination of the role that parents play in developing the financial well-being of children versus young
adults, has been limited, especially among low income households. Savings, in general provide opportunities for
children to accumulate the knowledge and skills they will need in the workplace and will enable them to make
responsible decisions in the marketplace that directly impact the quality of their lives (Elliott, Jung and Friedline,
2010; Elliott, 2013). When savings were larger and targeted for school, and when family incomes were higher,
college attendance and graduation percentages increased (Elliott, 2013). Also, children with college savings are
more likely to get better grades and complete more years of education (Elliott and Beverly, 2011).

Self or Students
Financial challenges in higher education have been felt both at the institutional and individual levels. In
tough economic times, public universities have faced shrinking budgets and have had to continually seek to trim
“nonessential” services to students (Johnson, Oliff, & Williams, 2011). At both public and private universities
across the nation, student financial counseling services were eliminated. In one recent report, there were only seven
operating college-affiliated financial counseling centers in the United States (Moore, 2011). At the same time,
students were facing many of the same persistent financial challenges associated with pursuing degrees in higher
education, and some of these challenges appear to be getting worse. These include long-standing higher-than-
average rates of inflation in the costs of an education compared to the consumer price index, growing levels of
student debt, and fewer or poorer job prospects upon graduation (Collinge, 2010). As these individual pressures
intensify, it becomes clearer that students need increased financial management skills. Hence, the paradox,
although universities may save money initially by trimming financial counseling services to students, the services
come at a time that students may need it most.

BUDGET PREFERENCE

Basic preference shifters such as time orientation and risk tolerance have been found to be related to well-
being. An enhanced orientation toward the future may make it possible for individuals to increase their social and
economic well-being (Shobe and Page-Adams 2001). Sahu and Rath’s (2003) study revealed a strong association
between self-efficacy and well-being. Risk tolerance, as one dimension of financial attitudes, may be related to
financial wellness. For example, different levels of risk tolerance can result in differences in financial decisions and
outcomes. These differences may lead to different levels of financial wellness (Joo and Grable 2004). Joo and
Grable (2004) determined that financial well-being is related, both directly and indirectly with financial risk
tolerance.
College students are a lucrative market for financial institutions, both as a source of immediate revenue and
as a way to establish brand-loyalty throughout adulthood (AmatoMcCoy 2006). However, a lack of experience in
financial management may be particularly harmful to students’ financial futures (Nellie Mae 2002). Students may
not realize the immediate impact of credit card use, for example, the fee structures employed for credit card use or
the penalties applied for failure to live up to terms of use (Joo et al. 2003). In addition to the short-term effects,
many young adults do not consider the long-term consequences surrounding the misuse of credit, including years
of financial debt, low credit scores impeding future plans, and in extreme cases, personal bankruptcy (Holub 2002;
Roberts and Jones 2001).
Some research has shown that the most important factors predicting food selection among adults are: taste,
cost, nutrition, convenience, pleasure, and weight control, in that order (Glanz, Basil, Maibach, Goldberg, &
Snyder 1998). Many studies have shown that people often establish these tastes and habits while they are relatively
young (Birch, 1999). Evidence suggests early establishment of habits and preferences occurs for a variety of
behaviors including media use (Basil, 1990) and music listening (Holbrook & Schindler, 1994), as well as food
choice (Birch, 1999). Therefore it is advisable to begin establishing good eating habits when people are as young as
possible. Importantly, however, for the very young many food decisions are controlled by parents and preschools
(Nicklas et al., 2001). Therefore, food choice for the youngest age groups may be constrained by a number of
factors.

ACADEMIC PERFORMANCE
Today’s college students are less prepared for college-level work than their predecessors. Once they get to
college, they tend to spend fewer hours studying while spending more hours working, some even full time (D. T.
Smart, C. A. Kelley, & J. S. Conant, 1999). ccording to Pinder (1984) and others (Chan, Schmitt, Sacco, &
DeShon, 1998; Chatman, 1989; Dreher & Bretz, 1991; Nonis & Wright, 2003; Wright & Mischel, 1987),
performance is a multiplicative function of both ability and motivation. For example, a student with very high
ability but low motivation is unlikely to perform well, whereas a student with low ability but high motivation is
likely to perform well. That is, the variability in motivation across students may dampen associations between
ability and performance.
Parenting styles and techniques have consistently been shown to relate to various outcomes such as child
psychological problems (e.g., aggression) and academic performance (Baumrind, 1967, 1991; Dornbusch, Ritter,
Leiderman, Roberts, & Fraleigh, 1987; Querido, Warner, & Eyberg, 2002). Several conceptualizations of parenting
styles or characteristics have been delineated. Most have focused on quantities and qualities of warmth,
responsiveness, and control in the parenting repertoire (e.g., Coolahan, McWayne, & Fantuzzo, 2002).

HIGH PERFORMER
Self-efficacy belief has received increasing attention in educational research, primarily in studies of

academic motivation and self-regulation (Pintrich & Schunk, 1995). In this arena, self-efficacy researchers have

focused on three areas. The first area has explored the link between efficacy beliefs and college major and career

choices (Lent & Hackett, 1987). The second area suggests that efficacy beliefs of teachers are related to their

instructional practices and to various student outcomes (Ashton & Webb, 1986). The third area has reported that

students’ selfefficacy beliefs are correlated with their academic performances and achievements (Multon, Brown &

Lent, 1991; Pajares, 1996; Schunk, 1989, 1991). Otherwise, Bandura (1977b) has also identified three major

categories of experiences stimulated by efficacy beliefs: (1) choice behavior: people engage in tasks in which they

feel competent and confident and avoid those in which they do not; (2) effort expenditure and persistence: how

much effort people will expend on an activity, how long they will persevere when confronted with obstacles, and

how resilient they will prove in the face of adverse situations—the higher the sense of self-efficacy, the greater the

effort, persistence, and resilience; and (3) thought patterns and emotional reactions: efficacy beliefs also influence

the amount of stress and anxiety individuals experience as they engage in a task and the level of accomplishment

they realize. Self-efficacy has been shown to influence both goal level and goal commitment (Locke, Frderick, Lee

& Bobko, 1984).

MEDIOCRE PERFORMER

Most mediocre students become mediocre employees. In a wide variety of educational settings it rapidly

becomes apparent to the experienced facilitator, which participants in the learning process are prone to be

successful in any career they choose, and which ones have a higher likelihood of getting stuck in the middle,

regardless of the desirability of the career they embark upon. Massey et al. (2005) confirm that “faculty are often

frustrated by student preparedness (or lack thereof) for exams and review sessions” (p. 9). These authors rightfully
criticize the sometimes poor quality of instruction as the cause of low learning motivation by asserting, “this may

be partially attributed to passive involvement during lectures and the failure of students to discuss and reflect on

topics as they are introduced” (p. 9). As a constructive alternative, Massey et al. (2005) subsequently endorse

active learning techniques, such as games and reflective questionnaires, to get students more involved.

Nevertheless, the educators among the readers of this paper may agree with the author’s conclusion that there are a

percentage of perfectly capable and equipped students, which, even in a highly participative and supportive

learning environment, will learn less than others, solely due to attitudinal issues. To that regard Reid (1998)

maintains, “attitude toward learning is an important factor in eventual academic success” (para. 1). In line with

Reid’s statement, the Taft College (2005) Counseling website affirms to student readers, “your attitude toward

learning is going to be a key factor in determining whether or not you get the most out of college” (Taft College,

2005, para. 3). The Taft College Counseling website continues, “most professors agree that students who have the

motivation, or desire, to learn will succeed. If you have the interest in acquiring knowledge, you will enjoy learning

and will be willing, if not JMD 26,10 924 Downloaded by Woodbury University At 19:42 06 January 2015 (PT)

eager, to study” (para., 3). Conversely, the above statement indicates that those students who do not have the

motivation or desire to learn will most probably not succees. Faculty members’ expectations of student behavior in

the small-group setting, Blue et al. (1998) present a list of typical characteristics of unsuccessful students. They

mention, for instance, lack of participation in group activities; lack of being present at all sessions; a higher level of

inattentiveness; a tendency to refuse perceiving alternative views and values; a minimal effort to learn; a disinterest

in content learning; and a deficiency in class preparation.

LOW PERFORMER

A deep understanding of what personal, social and family factors most affect academic performance is

particularly important in improving student achievement and reducing academic failure (Barragán et al., 2016;

Berliner, 2009; Carrillo, Civís, Blanch, Longás, & Riera, 2018; Henderson & Milstein, 2003; Jensen, 2013;

Stockton, 2011). In this context, resilient students are those who achieve academic success despite adverse

socioeconomic conditions, and low performers are those whose performance is worse than expected (García-

Crespo, Galián, Fernández-Alonso, & Muñiz, 2019; Organisation for Economic Co-operation and Development.
promote resilience and reduce the proportion of low performers is fundamental in being able to help students and

improve how education systems work. Choi and Calero (2013) indicated that students’ capacity for resilience

comes from the interaction between personal, family and school variables. Erberber, Stephens, Mamedova,

Ferguson and Kroeger (2015).

THEORITICAL FRAMEWORK

A framework of access to Tertiary Education Subsidy

The purpose of this study is to explore, delineate and contextualize widening participation within Osborne
and Gallacher’s concepts of getting in, getting through and getting on which serve as conceptual framework for this
study. Since the study explores the experience of first-year and fourth year students. We will focus on the first
stages namely getting in and getting through. In the first section, we will examine the process of getting in which
includes student’s recruitment, student’s readiness, the admission process and students funding. In the second
section, we will explore the process by which students are getting through the system, focusing on the orientation
period, students support (academic and psychosocial) and the institutional culture. We chose to examine the
various concepts which underpin getting in and getting through rather then focusing on one concept, because they
give a broader view and better way of exploring the question od widening participation of Bachelor of Science in
Business Administration and Bachelor In Secondary Education with special reference to students from under-
represented groups.The schematic representation below gives an overview of the access framework for Tertiary
Education Subsidy, depicting the three key concepts which form the basis for this study.
This theory was first used by Davenport and Prusak (1997) and later extended by Thomas (2009) and
Marcum (2013), (as in Marcum, 2013). This theory states that other forms of scholarship should be broadened and
deepened to create the possibilities for civic engagement in higher education. It can as well be called the
scholarship of engagement. Thus, by emphasizing “scholarship” rather than “learning,” the scholarship of
engagement suggests a set of practices that cuts across all aspects of the traditional functions of higher education. It
assumed that participatory research tends to respond to problems of exclusion by reaching out to a marginalized or
previously excluded group.

Becker (1993) and Schultz (1963) are the most prominent proponents of this theory on why individuals
acquire education and training. The theory posits that individuals seek to increase their amount of human capital in
order to earn higher returns in labour markets. Individuals do this primarily through investing in education, seeking
to acquire skills or credentials that increase their productivity and lead to greater labour market rewards. The theory
of human capital is akin to the theory of production among firms; just as firms invest in capital (financial and
physical) in order to maximize output, individuals invest in human capital in order to maximize their output. Since
the potential rate of return on an investment depends on its initial price, the decision to attend college is also
constrained by price. Thus, price theory in microeconomics helps explain the role of financial aid in college access
and choice. The aid acts to lower the net price paid by the student, increasing the likelihood the individual will be
able and willing to invest in postsecondary education. Research on the college choice process shows that financial
aid is particularly effective at increasing the probability that a student from a lower-income family will enrol in
college, and much less effective for students from higher-income families.

CONCEPTUAL FRAMEWORK

FINANCIAL
DECISION
MAKING
 PARENTS ACADEMIC
 SELF PERFORMANCE
 HIGH PERFORMER
 MEDIOCRE
PERFORMER
 LOW PERFORMER
BUDGET
PREFERENCE
 SIGNIFICANCE OF THE STUDY

The purpose of this study is to help the Tertiary Education Subsidy students of St. Mary’s College

Baganga know how to make a decision in terms of financial decision making , budget preference . And also to

motivate the students to focus on their academic performance, and gain self steem by engaging theirselves in

school activities. It is a big previlege for us a students to received this TES scholarship from the government. An

opportunity to study hard for the preparation of our future.

This study aim to encourage all the students to perform their best as they can specifically to increase our

academic performances, know how to do a financial decision making ,and making a budget preference. This

research serves us a guide on how we improved ourselves being a Grantees and specially a Marian Students.
 We conduct this research because we want to know the factors that affect the academic performance of

some students. And why other students suffering from financial scarcity. And how they spend their money. All

those questions that we want to know are answered through this research.

As we all know being a student is not easy, we face a lot of delimmas along our journey. It needs to be open

for a change, change in perpective, positive always and have an open communication with our parents, guardians

and instructors. It is important to educate our selves. If we spent too much for not necessary thing, we have to

change it now. We have to know how to make a wise financial decision in order for us not to be financial stress in

times of we need money for our School obligations. If our grades are very low, we have to change our study habbit.

Give time to study our topics in every subject. We have to do it now while we still have enough time for change.

We have to value and grab the opportunity that government has offer to us.

This research will make us all realized something that are very important. We can gain more knowledge

also that we can apply in our daily activities.

DEFINITION OF TERMS
1. Financial Decision Making- is the process of weighing the pros and cons of a decision as it relates
to the use of money.
2. Budget Preference- it is a power of chance to chooseand estimating revenue and expenses over
a specified future period of time and is usually compiled and re-evaluated on
a periodic basis
3.TES- Tertiary Education Subsidy.

(a) Beneficiary refers to the recipient of any modality of Student Financial Assistance Program (StuFAP), such as
Scholarship, Grant-in-Aid, or Student Loan;

(b) Cost of Tertiary Education refers to (1) tuition, miscellaneous and Other School Fees, (2) Educational
Expenses, and (3) the cost of living allowance;
(c) Educational Expenses refer to expenses related to the education of a student, such as books, school supplies,
and electronic devices necessary for education, but excluding tuition and miscellaneous and Other School Fees;

(d) Grantee refers to the student-beneficiary of a Grant-in-Aid program;

4.Academic Performance- is the extent to which a student, teacher or institution has attained their
short or long-term educational goals
a. High Performer- stand out from average performers in any organization.
b. Mediocre Performer- of moderate or low quality, value, ability, or performance.
c. Low Performer-poor student performance

5.Grant-in-Aid refers to a modality of financial assistance to poor but eligible students which generally requires a
minimum level of competence to complete Tertiary Education;

6. Higher Education refers to the stage of formal education, or its equivalent, requiring completion of secondary
education and covering programs of study leading to bachelor and advanced degrees;

7.Higher Education Institution (HEI) refers to an institution of higher learning, primarily offering bachelor and
advanced degree programs;

I: RESPONDENTS PROFILE
Name:_________________________________ Gender:_____________________________________
Age : ____________________________________

PURPOSE:The information gathered through this questionnaire is a big help for us,because
this serves as our easiest way to evaluate the effective collection of certain kinds
of gathering information respondents. And it will used as a part of our research
study about the competitive strategies of retail sector between traditional and
online selling of merchandise and the impact to the consumer’s behavior.
CONFIDENTIALITY: Please take note that the responses you provide is completely
anonymous and confidential. The research outcome and report will not
include reference to any individual.

DIRECTIONS: Kindly read and answer honestly the questions, please put a check on a box provided.

II. FACTORS
4 3 2 1
FINANCIAL DECISION MAKING Strongly Agree Disagree Strongly
Agree Disagree

1.I always consider my family financial

situation.
2. I make a plan for my school budget.
3.I make a list of items needed to buy for
school purposes.
4.I always monitor my available money
before buying things.
5.I practice myself to save money.

Budget Preference
1.I like to spend my money in buying
something that can help my studies.
2. I love to buy books.
3. I spend my money for my study purposes.
4. I prioritize to pay my tuition and other
miscellaneous fee.
5. I have a record of my expenses.

Academic Performance
1.I am able to perform things like how other
students do.
2.I read and understand carefully the modules
with full comprehension.
3.I submit my exams and all outputs on time
according to timeline schedule.
4.I love reading books, it adds more
knowledge.
5.I always communicate and ask questions
with my instructors in times that I have a
confusion with the topics.

COMMENTS:
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Chapter 2
Methodology
This study used Descriptive Quantitative research design analysis. The purpose of this study is know the

relationship of FINANCIAL DECISION MAKING AND BUDGET PREFERENCES OF TES SCHOLARS

STUDENTS OF ST. MARY’S COLLEGE OF BAGANGA ON THEIR ACADEMIC PERFORMANCE.

RESEARCH DESIGN
 The focus of this chapter is on delineating and explaining the research design and methodology used in this

study. A research design is a blueprint or plan of how a study will be carried out. The researcher’s choice of design

is determined by the research questions and the purpose of the study. For this purpose, we choose a quantitative

case study research design. A case study research design offers a detailed description of a phenomenon

characterized by specific parameters in terms of context, place and time. In this inquiry, the focus was on the

tertiary students of St. Mary’s College Baganga to include the BSBA and Education Program..

RESEARCH SUBJECT

The research subject is the Tertiary Subsidy Scholars students of St. Mary’s College Of Baganga with 300

TES students. This study will conducted upon the approval of our research adviser.

RESEARCH INSTRUMENTS.

This study is to provide and gather as much as informative method includes the use of questionnaires and

interviews. The tools used by the researcher are discussed, a questionnaire was used as the main data-gathering

instrument for this study.The survey questionnaire was being checked by our research adviser for some revision,

corrections and validation of the questionnaires that can be given to the respondents correctly. We are using Likert

scale as our mode of measurement.

DATA GATHERING PROCEDURE

The process of data gathering procedure. There were data points for this study: (a) participan screening

questions, (b) participant interviews, (c) field notes, and (d) document analysis. We have to send a letter
of request to the concern person in the School to ask permission that we are going to conduct a study.

After if the said letter were approved then we will start conducting a survey.

Given that semi-structured interviews with tertiary education level administrators of each student

money management center were the primary point of data collection, the participant’s ability to provide

descriptive, relevant information as it pertains to this study was critical to the overall quality of this study,

as the interviews serve as the primary data point, with the other data points more supplementary in nature.

To extract meaningful data points, in an attempt to address this complex phenomenon, I needed

participants who could articulate their personal successes and struggles in educating students on matters of

personal finance.

Two attempts were made to contact selected administrators for the purpose of scheduling an

interview. The first attempt was a generic solicitation e-mail introducing myself, the purpose of the study,

and inviting them to participate. The second, and final attempt, was a final follow up e-mail to the original

e-mail, offering one final opportunity to participate. If phone numbers were provided in the survey

response, I would make third attempt to contact via phone, but phone numbers were not consistently

provided by each respondent. Every effort was made to schedule each within one to two weeks of initial

contact. Individual interviews were expected to last 45 minutes to an hour. In actuality, the shortest

interview lasted 33 minutes and the longest, an hour and eight minutes. These interviews were intended to

be conducted through video conferencing, utilizing services such as Skype, FaceTime, or Google Hangout,

in an effort to emulate a more interpersonal conversation. Exceptions were made for those preferring a

phone call to a videoconference, which proved to be the majority of participants. Given the lack of security

provided by these mediums, a disclaimer acknowledging this was included in the participant’s informed

consent. Upon completion of the interview, participants received a follow-up e-mail thanking them for their

time and participation and offering the option to conduct member verification, or review the transcript of

their interview. Each interview was digitally recorded. Once the interviews are complete, the audio

recordings were personally transcribed. Each participant was sent his/her complete interview transcript
electronically, as a member-check (Doyle, 2007; Merriam, 1998). It was important to have as many

participants as possible review their transcripts to provide them with the opportunity to clarify or remove

any information and verify context (Lincoln & Guba, 1985). Participants received clear instructions as to

what to expect with their transcripts, as they received slightly condensed versions of their transcripts

omitting pauses and filler words such as “ums” and “uhs”. Participants were also informed that the

transcripts are for reflexivity purposes only, that they could clarify content but no additions were

entertained. These condensed transcripts, along with clear instructions, allowed the participant to focus on

the content of the transcription as opposed to the perfection of their delivery (Carlson, 2010). The approved

transcription was then utilized as the primary source for data analysis.

SATISTICAL TREATMENT OF DATA

The Sage dictionary of social research methods group together of sampling such as convenience

volunteer and purposive. Purposive sampling was chosen by the researcher as it fit the purpose budget and

timeframe of the study. In purposive sampling also termed as purposive or judgement sampling, the

researcher specified the characteristic of a population of interest and then tried to locate individual who fit

those characteristic (Johnson & Christensen, 2004). Specific characteristics for selection criteria were

constructed and the researcher located the participants through initial permission and volunteering.

Students who were the unit of analysis in the study were Tertiary students. In the context of the

government-university relationship the principal-agent theory could provide a useful and applicable

framework for analyzing the effects of tuition fee policy on university financial management. Agency

problems that may occur in the relationship between government and university or management staff and

students in universities include shirking, budget maximization and cross-subsidization shirking is classified

into passive shirking, in which school does not achieve the objective pursued by the government and

students. Some examples include professors doing personal consulting rather than focusing on education
and research for students or the university excessively using the budget on publicity and events rather than

investing in education and research. There are many accounts related to shirking in the expenditure

accounts of universities in Korea. First operating expenses include welfare benefits training costs for

faculty and staff, general service costs, business operating expenses, publicity costs, meeting costs, event

costs missionary work costs and other operating expenses, which are costs related to the management of

the university rather than costs invested to meet the purposes desired by the government and students and

thus, expensive spending on these items can be regarded as a from of shirking. Expenditure from

investments and other assets is also an account to increase financial income activities of universities rather

than investment in education and research.

.