Financial Behavior of Abm Students As Indication of Their Financial Literacy

FINANCIAL BEHAVIOR OF ABM STUDENTS
AS INDICATION OF THEIR FINANCIAL LITERACY
Abdel Hakim Diangka

Abdul Raheem Mamainte
Adlai Manuel Ong
Ezekiel Hakeem Ranao
Nathan Josh Ruelo
Antonette Survilla
Mike Anthony Trigosa
Grade 12 – Masterson A
March 2, 2022
FINANCIAL BEHAVIOR OF ABM STUDENTS
AS INDICATION OF THEIR FINANCIAL LITERACY
A Research Paper
Presented to
The Faculty of Senior High School
Xavier University – Ateneo de Cagayan
In Partial Fulfillment
Of the Requirements in Research 203
Abdel Hakim Diangca

Abdul Raheem A. Mamainte
Adlai Manuel E. Ong
Ezekiel Hakeem M. Ranao
Nathan Josh B. Ruelo
Antonette A. Survilla
Mike Anthony Trigosa
Grade 12 – Masterson A
March 2, 2022
Ms. Lourdes L. Bett

CERTIFICATE OF ORIGINALITY
This is to certify that we assume full responsibility over the work entitled “FINANCIAL
BEHAVIOR OF ABM STUDENTS AS INDICATION OF THEIR FINANCIAL LITERACY” submitted
as a requirement for graduation for Senior High School at Xavier University Senior High
School – Ateneo de Cagayan, that the work is our own, that this is original except as specified
in the acknowledgements, footnotes, or in the references and that this has never been
submitted to this or any other school for a degree or other requirements.
ABDEL HAKIM DIANGCA ABDUL RAHEEM A. MAMAINTE ADLAI MANUEL E. ONG
EZEKIEL HAKEEM M. RANA NATHAN JOSH B. RUELO ANTONETTE A. SURVILLA
MIKE ANTHONY TRIGOSA
March 2, 2022
APPROVAL SHEET
This Research Paper entitled: “FINANCIAL BEHAVIOR OF ABM STUDENTS AS
INDICATION OF THEIR FINANCIAL LITERACY” prepared and submitted by ABDEL HAKIM
DIANGCA, ABDUL RAHEEM A. MAMAINTE, ADLAI MANUEL E. ONG, EZEKIEL HAKEEM M.
RANAO, NATHAN JOSH B. RUELO, ANTONETTE A. SURVILLA, and MIKE ANTHONY TRIGOSA,
in partial fulfillment of the requirements for graduation for Senior High School has been
examined and is recommended for Oral Examination.
LOURDES L. BETT
Research Teacher /Adviser
PANEL OF EXAMINERS
Approved by the Committee on Oral Examination with a passing mark.
Mr. Ray Michael S. Homeres, LPT, MBA

Chair
Ms. Maricar C. Obsioma, LPT Ms. Lourdes L. Bett, MBA

Member Member
Approved and accepted in partial fulfillment of the requirements for graduation for
Senior High School.
DR. ROGELIO L. GAWAHAN, PhD

Principal
Xavier University Senior High School
March 2, 2022
ACKNOWLEDGEMENT
We wish to express our deepest gratitude to the following people who, in every way,
helped us in making this research possible.
To Ms. Lourdes L. Bett, MBA, our research adviser, who dedicated her time for the
success of this study. Despite the minimal time allotted for this, she open-handedly shared
every speck of knowledge to us.
To the family and friends, whose support filled us with enormous dedication to fulfill
whatever it takes to conclude this research study.
And above all, to the LORD ALMIGHTY, for His infinite provision of grace and divine
intervention in the completion of this study, for in Him nothing is impossible for He is filled
with love.
ABSTRACT
The aim of this paper is to indicate the financial literacy of Accountancy, Business
and Management students by their financial behavior. Financial behaviors including,
budgeting habits, saving habits, debt-management habits and spending habits. This
study also wants to find out the significant difference in the financial literacy and
financial behavior of the ABM students in terms of their sex and age. The Heuristic
Sampling Procedure was used in this study and 120 ABM students as the participants.
An online questionnaire was used to gather data and the data gathered was analyzed
using descriptive-comparative statistical methods, such as mean, frequency,
percentage and t-test. The results revealed that there is a significant relationship in
the financial literacy of the respondents in terms of their financial behavior. ABM
students are recognized as having a relatively good to excellent financial behavior,
which likewise suggests a moderate to high financial literacy. It was also found out
that the financial literacy does vary when grouped according to sex. Results showed
that in comparison with male respondents, female respondents have greater financial
literacy when referring to budgeting habits, saving habits, debt-management habits
and spending habits. In contrast, financial literacy does not vary when grouped
according to age.
Keyword: financial literacy, financial behavior, budgeting habits, spending habits,

debt-management habits, saving habits
TABLE OF CONTENTS
TITLE PAGE i
CERTIFICATE OF ORIGINALITY ii
APPROVAL SHEET iii
ACKNOWLEDGEMENT iv
ABSTRACT v
TABLE OF CONTENTS vii
LIST OF TABLES viii
LIST OF FIGURES ix
CHAPTER 1 THE PROBLEM 1
Introduction 1
Background of the Study 1
Statement of the Problem 3
Hypothesis 4
Conceptual Framework 4
Significance of the Study 5
Scope and Delimitation 6
Definition of Terms 7
CHAPTER 2 REVIEW OF RELATED LITERATURE 8
CHAPTER 3 RESEARCH METHODOLOGY 20
Research Design 20
Context and Participants 20
Data Gathering Instruments 21

Data Gathering Procedure 22
Statistical Instrument/Procedure 23
Scoring Guidelines 26
CHAPTER 4 PRESENTATION AND INTERPRETATION OF DATA 27
Results 28
Demographic Profile 28
Financial Literacy 29
Age 34
Sex 40
T-tests 46
Findings 48
CHAPTER 5 SUMMARY OF FINDINGS, CONCLUSION AND
RECOMMENDATIONS 55
Summary 55
Conclusion 56
Recommendations 57
BIBLIOGRAPHY 61
APPENDICES 65
LIST OF TABLES
Table Title Page Number
1 Variable Measured per Question 22
2 Financial Literacy Level 25
3 Likert's Scale Value 25
4 Scoring Guidelines 26
5 Demographic Profile by Age 28
6 Demographic Profile by Sex 28
7 ABM Student's Financial Literacy 29
8 ABM Student's Budgeting Habits 30
9 ABM Student's Saving Habits 31
10 ABM Student's Debt-Management Habits 32
11 ABM Student's Spending Habits 32
12 17 years old & below ABM students’ Financial Literacy 34
13 18 years old & above ABM students’ Financial Literacy 35
14 ABM students’ Budgeting Habits comparison by Age 36
15 ABM students’ Saving Habits comparison by Age 37
16 ABM students’ Debt-Management Habits comparison 38
by Age
17 ABM students’ Spending Habits comparison by Age 39
18 Male ABM students’ Financial Literacy 40
19 Female ABM students’ Financial Literacy 41

20 ABM students’ Budgeting Habits comparison by Sex 42
21 ABM students’ Saving Habits comparison by Sex 43
22 ABM students’ Debt-Management Habits comparison by 44
Sex
24 ABM students’ Spending Habits comparison by Sex 45
24 T-test results between ABM Students aged 17 & below 46
and 18 & above
25 T-test results between Male and Female ABM Students 47
LIST OF FIGURES
Table Title Page Number
1 Conceptual Framework 4
2 The Life-Cycle Theory of Consumption 14
3 Maslow’s Motivation Theory 15

CHAPTER 1
THE PROBLEM AND ITS BACKGROUND
This chapter starts off by presenting the background of the study which includes the
general context, description of the current state of the field, the conventional practices in
addressing the current situation that the study seeks to address. This is then followed by
the statement of the problem, research questions, that the study aims to answer, as well as
the conceptual framework, research hypothesis, significance of the study and its scope and
delimitation.
INTRODUCTION
1.1 Background of the Study
As time passes by, the economy in today’s modern world keeps on evolving in a way
where generations contribute to its change. And today’s generations have greater
expectations in terms of the economic situation, their professional potentials, and their
mode of living. To evaluate today’s generation’s knowledge and readiness in coping with
the reality of today’s economic situation, we shall examine their factors in the field of
financial decision-making, financial behavior, and their level of financial literacy. The
current study tackles the level of financial literacy of Xavier University Senior High School
ABM Students in the field of financial literacy as to how students in their strand allocate a
budget, save, debt management, and spending habits.
1
According to S&P Global FinLit Survey in relation with the OECD PISA data (2014), in
the major emerging economies individuals ages 15-35 have the highest financial literacy
rates with a percentage of 35%. This data goes to show how well-associated the newer
generations are in the field of financial literacy. From the ways of how students as young as
them maintain their financial accountability to developing a healthy saving and spending
habits.
Basis of the level of financial literacy are their capacity to decide in which kind of
management an individual will use to stabilize and develop their financial state. Such as
initiating which investment they should take and allocating a fair budget for a daily
expenditure. Financial literacy is also based on how wise and strategic an individual is in
their personal financial management. All these show what level an individual is in the field
of financial literacy.
Moreover, financial literacy happens to effectively be influential in a person’s view of
money. Making students be wise in their financial decision-making all throughout their
education in finance. With their education in finance, students in the strand like them
already have the aspect of valuing money. Understanding how to grow money out of the
seven basic financial concepts, students would be able to responsibly manage their
financial resources. Under the influence of financial literacy through their education,
students are able to be aware of how to take a risk with knowledge and references and gain
through investment.
Financial literacy can be determined on a student’s spending habits such as
expenditures on a daily basis, debt behavior and management if they existed. There are
various and strategic ways to develop and enhance a student’s level of financial literacy,
2
one of the ways is to conduct webinars that discuss financial concepts and entrepreneurial
skills to develop and maintain. In this way, other students will be able to cope up with their
financial goal and start making wise decisions.
The importance of promoting financial literacy for Xavier University Senior High
School students cannot be ignored, as individuals at this point of their lives must already
have their ways to manage their finances. In this context, the researchers wants to find out
if students have knowledge of financial literacy that is actually applied in their daily work
and when they work on their personal finances.
1.2 Statement of the problem
The purpose of this study is to indicate the financial literacy of Accountancy, Business,
and Management (ABM) students through their budgeting habits, saving habits, debt-
management habits, and spending habits.
To achieve this, the research aimed to answer the following questions:
1. What is the demographic profile of the respondents in terms of sex and age?
2. Are the following factors indicative of the financial behavior of ABM students, in
terms of:
a) Budgeting Habits
b) Saving habits
c) Debt-Management habits
d) Spending Habits
3
3. Is there a significant difference in the financial literacy of ABM students when
grouped according to age and sex?
4. Is there a significant difference in the financial behavior of the respondents when
1.3 Research Hypothesis
Null Hypothesis (Hₒ):
 Hₒ1: There is no significant difference in the financial literacy of the
respondents when grouped according to sex and age.
 Hₒ2: There is no significant difference in the financial behavior of the
respondents when grouped according to sex and age.
1.4 Conceptual Framework
The following diagram shows the independent and the dependent variables of the
study which help grasp and understand what the research is about.
Figure 1. Conceptual Framework.
Demographic Profile:
- Age
- Sex
Financial Literacy
Financial Behavior
- Budgeting Habits
- Saving Habits
- Debt Management
Habits
- Spending Habits
4
As an individual grows, their financial decision-making changes. The Life-Cycle
Theory of Consumption says that a person’s financial behavior changes as they grow
and is affected by their consumption over goods and services that depend on their
needs and wants.
The basic financial concepts learned at home and from different institutions are
what makes up an individual’s Financial Knowledge. This then leads to their behaviors
towards money. An individual's perspective of the basic financial concept affects their
behavior in terms of budgeting habits, saving habits, spending habits, and debt
management habits. Their behavior are affected by different factors, these factors
include their sex and age. Sex affects their decision-making as the different sexes has
different personalities and characteristics. The other factor, age, is a major influence in
an individual’s behavior as their needs and wants change as they grow. A 10 year old
and an 18 year old have different wants.
1.5 Significance of the Study
Due to a lack of expertise in handling financial obligations, senior high school
students tend to be inconsequential in making financial judgments, resulting in
irresponsible borrowing. By indicating financial awareness, students' spending patterns
may alter for the better. The researchers hope to learn about the financial literacy of
5
ABM students in terms of budgeting habits, saving habits, debt management habits, and
spending habits.
Students. The findings of this study would benefit the students by making them
aware of financial literacy itself and how they can develop their understanding of it.
Especially that they are ABM students, in which they may handle money and resources
in the future where they will be needing the skill to maintain their resources.
Teachers. The findings of this study would benefit the teachers by being aware of
their student's level of financial literacy, they will be able to know what necessary skills
they need to focus on in teaching their students.
Administrators of XUSHS. The findings of this study would then assist the
administration in determining what initiatives and policies to employ to address the
improvement of students' financial literacy.
Parents. The findings of this study will enable parents to determine how
financially literate their children are and to arm themselves with the information they
need to help their children become financially literate.
Future researchers. For the Future researchers who want to do the study on the
same issue might use this work as a guide for their own research since it covers
essential topics that will be useful to them.
1.6 Scope and Delimitation
This study will only be limited to the concept of financial literacy particularly
budgeting habits, saving habits, debt management habits, and spending habits. Other
6
related concepts and variables will not be included. Also, the participants of the current
study are Xavier University Senior High School Accountancy, Business and Management
(ABM) students of the school year 2021 - 2022. Students from other universities, or
other strands, or other school years will not be included. Moreover, this study will be
conducted online due to the pandemic. Thus, the researchers will not be able to
communicate to each other normally which will result to minor difficulties and
technicalities. The participants of this study will be only 120 participants.
1.7 Definition of Terms
Financial Literacy - refers to the capacity to comprehend and use a variety of financial
concepts and abilities, such as personal financial management, budgeting, and investing.
Budgeting habits - is the process of creating a plan to spend your money.
Debt Management habits - is a way to get your debt under control through financial
planning and budgeting.
Spending habits - is the way you are used to paying money for things, the things you spent
money for and how much you are used to spending, all of which is hard to change.
Saving habits - is the process of setting aside a portion of current income for future use, or
the flow of resources accumulated in this way over a given period of time.
Pandemic - Covid-19 outbreak that spreads across countries or continents.
Financial behavior - defined as how good a household or individual manages finances
such as Saving habits, Budgeting habits, Debt Management Habits, and Spending Habits.
7
CHAPTER 2
REVIEW OF RELATED LITERATURE AND STUDIES
This chapter identifies the related literature from online journals, books, and earlier
studies that are relevant to the research topic. This is intended to recognize various sources
of useful information that provide a clearer explanation of the variables involved in the
study, allowing researchers to know the amount of work done on the research topic. This
information suggests various methods, data sources, statistical methods, and means to help
the researchers achieve their research goals. These sources are selected according to its
currency, relevance, authority, accuracy, and purpose. Although the literature covers a
wide variety of its concepts and theories, this review focuses solely on providing an
overview of student financial literacy, factors that influence financial literacy and its
importance and determinants.
2.1 CONCEPTS
Financial Literacy
A starting point to develop a definition of financial literacy can be the semantic
analysis of the words "financial" and "literacy". The meaning of each word will contribute
to shaping the meaning of financial literacy itself. The definition of "literacy" in the Oxford
English Dictionary is "the ability to read and write" and "competence or knowledge in a
specific area". The same dictionary reports for "financial” relating to finance", where
"finance" means "the management of (large amounts of) money, especially by governments
8
or large companies". Matching these word definitions, financial literacy can be defined as
"competence or knowledge in the management of money" (Nicolini, 2019). It is the ability
to understand and effectively use various financial skills, including personal financial
management, budgeting, and investing. Financial literacy is the foundation of your
relationship with money, and it is a lifelong journey of learning (Fernando, 2021). In
simpler terms by Ritchie (2021), to be financially literate is to know how to manage your
money. This means learning how to pay your bills, how to borrow and save money
responsibly, and how and why to invest and plan for retirement.
Compounding the problems associated with financial illiteracy, it appears that
financial decision-making is also getting more onerous for consumers. Four trends are
converging that demonstrate the importance of making thoughtful and informed decisions
about finances. These four trends include: some groups may be falling behind, consumers
are shouldering more financial decisions, savings and investment options are more
complex, and the financial environment is changing. Financial literacy is crucial for helping
consumers to manage these factors and save enough to provide adequate income in
retirement while avoiding high levels of debt that might result in bankruptcy, defaults, and
foreclosures. Though these may seem like individual problems, they have a broader effect
on the entire population than previously believed. All one needs is to look at the financial
crisis of 2008 to see the financial impact on the entire economy that arose from a lack of
understanding of mortgage products (creating a vulnerability to predatory lending).
Financial literacy is an issue with broad implications for economic health, and an
improvement can help lead the way to a global economy that is competitive and strong
(Zucchi, 2021).
9
According to Corporate Finance Institute (2021), being financially literate is a skill
that brings forth an assortment of benefits that can improve the standard of living for
individuals through an increase in financial stability. This assortment of benefits include
ability to make better financial decisions, effective management of money and debt, greater
equipped to reach financial goals, reduction of expenses through better regulation, less
financial stress and anxiety, increase in ethical decision-making when selecting insurance,
loans, investments, and using a credit card, effective creation of a structured budget. Thus,
financial literacy benefits a person in multiple aspects and fields. Moreover, it does not only
benefit a person in a short span of time but also in the long run.
Financial Behavior
Financial behavior is the capability to capture understanding overall impacts of
financial decisions on one’s (i.e. person, family, community, country) circumstances and to
make the right decisions related to the cash management, precautions and opportunities
for budget planning (Tezel, 2015). It can be defined as any human behavior that is relevant
to money management. Common financial behaviors include cash, credit and saving
behavior (Ozmete, 2015).
It studies how emotional, cognitive, and psychological factors influence investment
decisions. Thousands of studies have confirmed that human beings are perfectly irrational
in their decision making. Behavioral finance helps to explain the difference between
expectations of efficient, rational investor behavior and actual behavior. In the midst of
heightened market volatility, advisors will need to focus on behavioral aspects of wealth
management, and develop a greater understanding of how biases can impact clients’
10
investment decisions. Incorporating behavioral finance into their practice is key to
enhancing the client experience, deepening relationships, retaining clients and potentially
delivering better outcomes (De St. Paer, 2019).
Budgeting Habits
According to Ganti (2021), budget is an estimation of revenue and expenses over a
specified future period of time and is usually compiled and re-evaluated on a periodic basis.
Budgets can be made for a person, a group of people, a business, a government, or just
about anything else that makes and spends money. It is a microeconomic concept that
shows the trade-off made when one good is exchanged for another. In terms of the bottom
line—or the end result of this trade-off—a surplus budget means profits are anticipated, a
balanced budget means revenues are expected to equal expenses, and a deficit budget
means expenses will exceed revenues.
Since budgeting allows you to create a spending plan for your money, it ensures that
you will always have enough money for the things you need and the things that are
important to you. Following a budget or spending plan will also keep you out of debt or
help you work your way out of debt if you are currently in debt (My Money Coach, 2021).
According to Bell (2021), one should practice budgeting because it helps you figure out
your long-term goals, it helps ensure you don’t spend money you don’t have, it helps lead to
a happier retirement, it helps you prepare for emergencies, it helps shed light on bad
spending habits, it helps you from worrying about financial issues.
11
Saving Habits
As defined by Kagan (2021), Savings refers to the money that a person has left over
after they subtract out their consumer spending from their disposable income over a given
time period. Savings, therefore, represents a net surplus of funds for an individual or
household after all expenses and obligations have been paid. Savings are kept in the form of
cash or cash equivalents (e.g. as bank deposits), which are exposed to no risk of loss but
also come with correspondingly minimal returns. Savings can be grown through investing,
which requires that the money be put at risk, however. People may save for various life
goals or aspirations such as retirement, a child's college education, the down payment for a
home or car, a vacation, or several other examples. If one is unable to maintain savings,
they may be said to be living paycheck to paycheck. If such a person experiences an
emergency, there is often not enough money saved up to live on and they may risk falling
into debt or bankruptcy. A more brief definition by Merriam – Webster (2021): “the act or
an instance of economizing”.
Saving helps navigate tricky situations, meet financial obligations, and build wealth. It
provides financial security and freedom and secures you in a financial emergency. By
saving money, you can avoid debt, which relieves stress. It is vital for many reasons. Some
include: emergencies, education, marriage, purchases, and accumulating wealth (Team
Finfirst, 2021).
12
Debt Management Habits
Debt management is a way to get your debt under control through financial planning
and budgeting (Heath, 2021). A study conducted by Bahovec, Barbic and Palic (2015),
suggests that people with low financial literacy are usually connected with high cost of
borrowing. The findings of the said study suggest that individuals, with respect to varying
levels of financial literacy exhibit different debt behavior. Thus, respondents with a low
level of reported financial literacy, i.e. financially illiterate respondents are expected to
demonstrate worse debt behavior, i.e. are more indebted than consumers with medium
and high levels of financial literacy. This is also supported by Lusardi (2019), which implies
that financial literacy has been proven to affect both saving and investment behavior and
debt management and borrowing practices.
Spending Habits
Spending habits are how individuals used to paying for things, how people spent
money, and how accustomed people are to spending, all of which are difficult to change. A
study by Andriani and Nugraha (2018), implied that individuals with low levels of financial
literacy are also having tight spending habits. It was also found out in the study that, both
male and female don't have a significant difference in their spending habits. Another study
by Azmi and Ramakrishnan (2018), showed that the higher level of financial knowledge is
the factor that influences the most desirable financial behavior in spending habits among
individuals. In addition, the study also indicated that financial literacy has a positive
relationship with spending habits.
13
Determinants of Financial Literacy
Financial literacy is very important to students because they are involved in making
financial decisions, understanding money management, considering financial issues, and
investing money in society as hard-working individuals.
That being said, there are many ways to determine Financial Literacy. According to
the study conducted by Morgan and Trinh (2017), the main determinants of financial
literacy are found to be educational level, income, age, sex, and occupational status. In
addition, both financial literacy and general education levels are found to be positively and
significantly related to savings habits and financial behavior.
Moreover, as explained in the study of Hilgert et al. (2003), the level of financial
literacy could be determined on how students’ financial behavior is being developed in
terms of their budgeting, saving, spending, and debt management habits. Furthermore,
other factors that impact a person’s financial literacy, are demographic profile, financial
knowledge, deportment towards finance, financial perspective, and financial orientation. A
much more recent study by Nababan and Sabalia (2012), also indicates financial behavior
related to how people treat, manage, and use the available financial resources. Individuals
who have a responsible financial behavior tends to be effective in using money, such as
making a budget, save money and control spending, investing, and paying their obligations
on time.
14
2.2 THEORIES
The Life-Cycle Theory of Consumption
The Life-Cycle Theory of Consumption states that the level of consumption of an
individual depends on both the current income and on long-term expected earnings.
The starting point of the model is that household consumption and savings decisions
at a given point in time are conscious attempts to achieve a favorable distribution of
consumption throughout the life cycle under given limits through the resources that flow
into the household that is an assumption that reflects during that lifetime.
Individuals plan their lifetime costs in consideration of their future income. Life-cycle
theory tells us how people's consumption changes as they grow up. It is said that as we
grow, the ability and amount of savings will increase, but eventually decrease. There is a
period of time during which a person can find a job and save many of their sources of
income, which lasts until retirement. At that age, the accumulated money will be spent
15
according to the will of the person. The amount saved will decrease at this point, regardless
of other sources of income (Modigliani, F., Ando, A., & Brumberg, 1950).
Maslow’s Motivation Theory
Maslow's Motivation Theory of Needs is a theory proposed by Abraham Maslow in his
paper entitled “A Theory of Human Motivation” back in 1943. This is used to study how
humans intrinsically partake in behavioral motivation. He used the terms, “physiological”,
“safety”, “belonging and love” or “social needs”, “esteem” and lastly, “self-actualization to
describe the pattern through which human motivations generally move. In other words,
each level must be met within the individual in order to be motivated at the next level.
The Physiological Needs are considered to be the most important physical needs for
human survival, these are universal human needs, such as air, water, food, shelter etc. After
the first level needs are met, the Safety Needs are prioritized to protect people from harm,
16
it includes personal security, employment, resource, health etc. The third level of human
needs, the Love and Belonging are mostly about interpersonal relationships and a sense of
belongingness, this includes family, friendship, intimacy etc. Then the fourth human needs,
the Esteem which is comprised with the interest of receiving recognition, appreciation or
respect from others, which will make people pursue different hobbies or activities that will
gain more confidence. Finally, the last human need, the Self-Actualization, after all the
needs are met, will bring a motive to seek fulfillment for oneself, by realizing one's
potential and making the most out of it.
The Economic Theory of Self-Control
The Economic Theory of Self-Control was developed in 1981 by Richard Thaler, who
won the Nobel Prize in 2017 for his contribution to understanding human behavior in
economics. He was also given the title of "Father of Behavioral Economics". In this theory,
people suffer from various mental illusions and people make mistakes. We want to delve
into the joy of consuming here now, rather than saving for a more exciting experience in
the future. Thus, Thaler has developed the "planner-doer" model. In this model, the
"planner self" thinks about long-term goals and the "doing self" handles it now.
17
2.3 SYNTHESIS
Decisions about money issues are entirely dependent on the person. It essentially
depends on the individual's knowledge of money management and how to apply that
knowledge accordingly. This allowed researchers to provide theories and concepts to
support this claim.
One of the theories is how one can control himself when making financial decisions.
Richard Thales's Economic Theory of Self-Control states that a person is both a planner and
a doer. This means that a person decides what he or she wants to do and ultimately puts
into action the plans he or she has made. And these plans and actions depend only on the
needs and desires of the person. As discussed previously, a person has multiple needs,
which essentially begin with meeting physiological and safety needs, love/belongingness,
esteem and self-actualization. These needs are hierarchical, as Abraham Maslow shows in
his Theory of Motivation. Our needs and wants depend on what we have become in our
lives. The final theory is the Life-Cycle Theory of Consumption, which is somehow related
to the above theory. This theory basically shows that people change their behavior
economically as they grow up, and that behavior can affect the consumption of goods and
services. It depends on what they need and what they want to do.
Financial knowledge is derived from the basic financial concepts introduced at home
and further developed in financial institutions through financial education programs. This
subsequently led to the development of their different behaviors when dealing with
financial resources. These financial behaviors are budgeting, saving, debt management, and
spending.
18
Parents are the first teachers and are responsible for how they bring their children, so
how students manage their financial resources depends on their upbringing and the family
environment. Correct behavior and discipline were introduced by parents for the better
growth of their children. Parents first teach their children the basics of money management
and management. Academic institutions also a place for students to learn to interact with
others, while offering a variety of programs to introduce financial literacy courses for
students to develop and improve financial literacy.
Financial knowledge acquired through household financial management and financial
education done by academic institutions mold the students’ attitude and behavior towards
handling financial resources. Students’ different views and perspectives of the basic
financial concepts affects their behavior in terms of budgeting, saving, spending and
managing their debts. The different factors affecting the students’ behavior are their
gender and age. Gender plays its role as male and female have varied characteristics and
personality which affects their decision-making. The second factor is the age, this is
because as people grow, their needs and wants changes, as well as their preferences. A 10-
year old’s needs and wants is different from a 17-year old teenager.
With these, it is expected that Senior High School ABM Students of Xavier University
S.Y. 2021-2022 have varied levels of financial literacy based on their financial behavior
which are affected by the different factors.
19
CHAPTER 3
RESEARCH METHODOLOGY
This chapter will discuss the research methods that were used in the study. It gives
information about the research design used, data gathering methods and instruments, as
well as the type of participants and how they are categorized. Furthermore, this chapter
explains the methods used to analyze the collected data and proper scoring guidelines used
by the variables of the study.
3.1 Research Design
This research paper used a descriptive quantitative research design. This type of
design allowed the researchers to obtain precise and accurate data. The quantitative
research design helped provide a clear picture of the financial behavior of the population in
question. The data is supplied in a numerical format, and can be analyzed in a quantifiable
way using statistical methods (DJS Research, 2021). This is employed as a descriptive
research to acquire factual information by gathering thoughts through the use of
questionnaires, interviews and observing. Quantitative research design is one in which the
research project is based on findings from quantitative data, either from surveys or
experiments.
3.2 Context and Participants
This study used Heuristic Sampling Procedure. A heuristic, or heuristic technique, is
any approach to problem-solving that uses a practical method or various shortcuts in order
20
to produce solutions that may not be optimal but are sufficient given a limited timeframe or
deadline (Chen, 2021). Thus, this sampling procedure used practical methods that are
necessary to the situation at hand, such as modification of the sample size that will be most
relevant for the study. Using the following method, different grade levels from Senior High
School Students from the accountancy, business, and management strand under Xavier
University Senior High School were chosen to determine their financial literacy through
their financial behavior. The researchers will have Xavier University Senior High School
ABM Students only, to participate in the study since the ABM strand are and will be
exposed more in financial matters, that they need to be aware of the level of their financial
literacy. The total population of the ABM strand is 442 students. There are 9 sections for
both Grade 11 and 12, with the total of 18 sections. With the Heuristic Sampling Procedure
there will be around 120 participants.
The researchers have chosen a sample size of 120 respondents coming from Xavier
University Senior High School ABM Students. With 21 sections in total, all 21 sections had
at least 6 participants each and reached the 120 desired participants. Participants of each
section were selected randomly. The participants were assured that their involvement is
voluntary and that they are free to withdraw consent at any time. They are also informed
that the data gathered are strictly confidential and will be used for the sole purpose of the
research only.
3.3 Data Gathering Instruments
For data collection, the researchers expertly crafted their own questionnaire based on
many theories and concepts proposed by various authors to address important elements of
21
financial behavior, including budgeting habits, saving habits, debt management habits, and
spending habits. The questions were grouped according to their variable to determine their
relationship to the students' financial literacy. The researchers used online questionnaires
to conduct the survey such as google forms. Due to Covid-19 Pandemic, the researchers
cannot survey students face to face. The respondents were asked to answer 20 questions.
For the Likert Scale items in the survey questionnaire, the structure was arranged in the
following item distribution sequence:
Table 1
Variable Measured per question
Item Number Variable Measured
1-5 Budgeting Habits
6 - 10 Saving Habits
11 - 15 Debt Management Habits
16 - 20 Spending Habits
3.4 Data Gathering Procedure
● It was made sure that the data gathering instrument and procedure was modified to
make it as relevant as possible by doing meetings with experts to conduct the
validity and reliability testing. Data collection materials were evaluated to ensure
that there will be no errors.
22
● The researchers asked permission to the school principal for approval to conduct
the survey by submitting a letter of approval.
● There was a pilot testing of 20 participants held before the final survey to make sure
that the potential and as well as the shortcomings of the survey are identified.
● After some minor modifications of the survey, the survey online questionnaires
were distributed to the targeted participants, through a representative of each class.
By using the Heuristic sampling method, there were a total of 120 participants from
XUSHS ABM Students. Having 18 sections, there will be 6 to 7 participants each
section to ensure the appropriate representation of the different sections.
● During the survey, the researchers made sure that the participation was consensual
and were reminded to answer the questions as honestly as possible and assured
that the findings of the survey will remain utmost confidential and for the sole
purpose of the research only. The respondents were given enough time to answer
the 20-item questionnaire about their financial behavior.
● After all the participants have answered the survey, data was then collected by the
researchers. The data gathered was then analyzed and interpreted to assess the
financial literacy through their financial behavior. The data will then be archived to
ensure its confidentiality.
3.5 Statistical Procedure
Data from the questionnaire was analyzed using descriptive measures such as
frequencies, percentages, means, and t-test in a form of summarized data using tables,
charts, and graphs.
23
Frequency/Percentage. This was used to identify the ratio among the student’s
demographic data in terms of their age, sex and as well as their level of financial literacy in
regards to their budgeting habits, saving habits, debt management habits and spending
habits.
Mean. This was used to identify the average of each variable in the study; budgeting habits,
saving habits, debt management habits and spending habits, which will help determine the
student’s financial literacy.
T-test. This was used to identify the significant differences of the financial literacy and
financial behaviors between age and sex.
In the context of the questionnaire that was used, the researchers will assess the level
of the Xavier University Senior High School ABM Students' financial literacy through their
budgeting habits, saving habits, debt management habits, and spending habits. In this case,
a certain range in the four-point Likert Scale will be followed to analyze and interpret the
data. The highest value, 4, will be deducted by the lowest value 1, then the difference will
then be divided by 4 (Statistics How to, 2019). A result of 0.75 will be used as the interval
between the descriptors. The interval that will be used is the significance for a four-point
Likert Scale (Watrin, 2016).
24
Table 2
Financial Literacy Level
Range Financial Behavior Financial Literacy
1.00 – 1.75 Very Poor Low
1.76 – 2.50 Poor Slightly Low
2.51 – 3.25 Good Moderate
3.26 – 4.00 Excellent High
With this, as table 2 shows, when the mean falls under the range of 1-1.75, it can be
described as very poor financial behavior, thus low financial literacy. A range from 1.76-
2.50, can indicate poor financial behavior, thus slightly low financial literacy. While 2.51-
3.25 is for good financial behavior, thus moderate financial literacy. Lastly, 3.26-4.00 can
indicate excellent financial behavior, thus a high financial literacy.
Table 3
Likert’s Scale Value
Variable Value
Strongly Agree 4
Agree 3
Disagree 2
Strongly Disagree 1
25
3.7 Scoring Guidelines
The following table shows the scoring guidelines of the variables measured from the
questionnaire.
Table 4
Scoring guidelines
Variable Code
Male 1
Female 2
17 years old and below 1
18 years old and above 2
Strongly Agree 4
Agree 3
Disagree 2
Strongly Disagree 1
In Table 4, there are 2 variables under sex which are male and female with a code of 1
and 2, respectively. There are also 2 variables under age which are 17 years old and below
& 18 years old and above with a code of 1 and 2, respectively. Lastly, there are 4 variables
under the Likert's scale which are strongly agree with a code of 4, agree with a code of 3,
and lastly, disagree and strongly disagree with a code of 2 and 1, respectively.
26
CHAPTER 4
PRESENTATION AND INTERPRETATION OF DATA
This chapter describes the analysis and interpretation of data from the research
questions set by the study. Data were analyzed to identify and describe the level of financial
literacy of Xavier University Senior High School ABM students in terms of their financial
behavior; budgeting habits, saving habits, debt management habits, and spending habits.
The data were obtained by conducting a survey of 120 respondents. The data from the
questionnaires were statistically analyzed using the formulas for descriptive statistics. The
findings are discussed according to the research questions investigated in the study:
1. What is the demographic profile of the respondents in terms of sex and age?
2. Are the following factors indicative of the financial behavior of ABM students, in
terms of:
a) Budgeting Habits
b) Saving habits
c) Debt-Management habits
d) Spending Habits
3. Is there a significant difference in the financial literacy of ABM students when
4. Is there a significant difference in the financial behavior of the respondents when
27
4.1 Results
4.1.1 Demographic Profile
This set of data will describe the demographic variables of the respondents. The
demographic data consists of age and sex.
Table 5
Demographic Profile by Age
Age Frequency %
17 & below 72 60%
18 & above 48 40%
Table 5 shows ABM students’ demographic profile by Age. The researchers classified
them into two (2); 17 & below and 18 & above. As shown in the table, 72 (60%) of the
respondents are aged 17 and below while 48 (40%) of the respondents are aged 18 &
above.
Table 6
Demographic Profile by Sex
Sex Frequency %
Male 42 35%
Female 78 65%
Table 6 shows ABM students’ demographic profile by Sex. The variable has two (2)
classifications; Male and Female. As shown in the table, 78 (65%) of the respondents are
28
Female while 42 (35%) of the respondents are Male. This indicates that there are more
women respondents than men respondents.
4.1.2 Financial Literacy
This set of data will describe to financial literacy of the respondents together with
their financial behaviors.
Table 7
ABM student's financial literacy
Range Frequency % Financial Financial
Behavior Literacy
1.00 – 1.75 2 1.67% Very Poor Low Financial
Literacy
1.76 – 2.50 5 4.17% Poor Slightly Low
Financial
Literacy
2.51 – 3.25 60 50.00% Good Moderate
Financial
Literacy
3.26 – 4.00 53 44.17% Excellent High Financial
Literacy
29
Table 7 shows that the 60 (50%) of the respondents have a moderately high financial
literacy level, followed by 53 (44.17%) who have a high financial literacy level also
followed by, 5 (4.17%) who have slightly low financial literacy level and lastly, followed by
2 (1.67%) who have a low financial literacy level. This means that the Xavier University
Senior High School ABM students already have knowledge about their financial literacy.
This can be traced from the Financial Literacy Theory and Evidence that the necessity for
financial literacy is largely supported by the frequently hectic variance in the global
economy, such as the consequences of economic cycles on the economy and well-being of
the population. Financial knowledge and the level of competence demanded of it, like all
other fields of expertise, is continually evolving.
Table 8
ABM students’ Budgeting Habits
Range Frequency % Budgeting Habits
1.00 – 1.75 4 3.33% Very Poor
1.76 – 2.50 20 16.67% Poor
2.51 – 3.25 32 26.67% Good
3.26 – 4.00 64 53.33% Excellent
30
The majority of the respondents, which is 64 (53.33%) of the sample population, have
Good Budgeting Habits, as is shown in Table 8. 32 (26.67%) of the respondents exhibited
Excellent Budgeting Habits, 20 (16.67%) have a Poor level, while the remaining 4 (3.33%)
has Very Poor Budgeting Habits. This means that most of the Xavier University Senior High
School ABM students are financially literate when it comes to budgeting habits.
Table 9
ABM students’ Saving Habits
Range Frequency % Saving Habits
1.00 – 1.75 2 1.67% Very Poor
1.76 – 2.50 11 9.17% Poor
2.51 – 3.25 52 44.33% Good
3.26 – 4.00 55 45.83% Excellent
Table 9 shows that 55 (45.83%) of the sample population have an Excellent Saving
Habits, while 52 (43.33%) of them have a Good Saving Habits, 11 (9.17%) has a Poor
Saving Habits, and 2 (1.67%) has a Very Poor Saving Habits. This goes to show that most of
the Xavier University Senior High School ABM students are financially literate when it
comes to saving habits.
31
Table 10
ABM students’ Debt-Management Habits
Range Frequency % Debt-Management
Habits
1.00 – 1.75 2 1.67% Very Poor
1.76 – 2.50 5 4.17% Poor
2.51 – 3.25 47 39.17% Good
3.26 – 4.00 66 55% Excellent
Table 10 shows that the majority 66 (55%) of the sample population have Excellent
Debt-Management, followed by 47 (39.17%) who have Good level, and lastly, 5 (4.17%)
and 2 (1.67%) for Poor and Very Poor, respectively. This means that most of the Xavier
University Senior High School ABM students are knowledgeable in managing debts. This
can be traced from the Economic Theory of Self-Control where a person plans and acts
according to his or her needs and wants such as financial needs, in which a person might
plan to resort to debts to resolve his or her needs.
32
Table 11
ABM students’ Spending Habits
Range Frequency % Spending Habits
1.00 – 1.75 2 1.67% Very Poor
1.76 – 2.50 3 2.50% Poor
2.51 – 3.25 48 40% Good
3.26 – 4.00 67 55.83% Excellent
In terms of Spending habits, table 11 shows that 67 (55.83%) of the respondents have
Excellent Spending Habits, 48 (40%) have Good level, 3 (2.5%) have Poor, and another 2
(1.67%) have Very Poor Spending Habits. These results imply that most of the Xavier
University Senior High School ABM students are financially literate when it comes to
spending habits. Just as the Moslow's Motivation theory says, this might be due to the
different needs of a person namely physiological needs, such as food, water, and shelter;
safety needs, such as personal security, financial security, and health security; love and
belongingness needs, such as expense on gifts for family and friends; esteem needs, such as
material possessions that make a person feel more confident like clothes, accessories, or
even gadgets; and finally, self-actualization needs, such as needs for development like
books, tutor, and online webinars.
33
4.1.3 Level of Financial Literacy when grouped by Age
This set of data will describe the financial literacy and compare the financial behavior
of the respondents when groups according to Age.
Table 12
17 years old & below ABM students’ Financial Literacy
Behavior Literacy
1.00 – 1.75 0 0% Very Poor Low Financial
Literacy
Financial Literacy
2.51 – 3.25 27 37.5% Good Moderate
Financial Literacy
Literacy
In terms of students who are 17 years old and below table 12 shows 42 (58.33%)
have a moderate level of financial literacy, with 27 (37.5%) having a high level, and 3
(4.17%) having a slightly low level. This suggests that the majority of ABM students at
Xavier University Senior High School who are 17 years old or younger are financially
literate.
34
Table 13
18 years old & above ABM students’ Financial Literacy
Behavior Literacy
Literacy
Financial Literacy
2.51 – 3.25 18 37.5% Good Moderate
Financial Literacy
Literacy
Table 13 shows, 26 (54.16%) of the respondents aged 18 and above have a high level
of financial literacy, 18 (37.5%) have a moderately high level, 2 (4.17%) have a slightly low
level, and lastly with 2 (4.17%) have a low level of financial literacy. These findings suggest
that the majority of Xavier University Senior High School ABM students aged 18 and up are
financially literate.
35
Table 14
ABM students’ Budgeting Habits comparison by Age
17 & below 18 & above
Financial Range Frequency % Frequency %
Behavior
Very Poor 1.00 – 1.75 1 1.39% 3 6.25%
Poor 1.76 – 2.50 16 22.22% 4 8.33%
Good 2.51 – 3.25 37 51.39% 27 56.25%
Excellent 3.26 – 4.00 25 25% 14 29.17%
Table 14 shows the comparison of Age (17 & below and 18 & above) in terms of
Budgeting Habits. Results show that out of the 72 respondents aged 17 & below; 37
(51.39%) of them have Good Budgeting habits, 18 (25%) of them have Excellent Budgeting
habits, 16 (22.22%) of them have Poor Budgeting habits, and 1 (1.39%) of them has a Very
Poor Budgeting habits. On the other hand, out of the 48 respondents aged 18 & above; 27
(56.25%) of them have Good Budgeting habits, 14 (29.17%) of them have Excellent
Budgeting habits, 4 (8.33%) of them have Poor Budgeting habits, and 3 (6.25%) of them
has a Very Poor Budgeting habits. These imply that there is a greater percentage of 18 and
above aged respondents who are financial literate than those of 17 and below aged
respondents in terms of Budgeting Habits.
36
Table 15
ABM students’ Saving Habits comparison by Age
Behavior
Very Poor 1.00 – 1.75 0 0% 2 4.17%
Poor 1.76 – 2.50 7 8.72% 4 8.33%
Good 2.51 – 3.25 30 41.67% 22 45.83%
Excellent 3.26 – 4.00 35 48.61% 20 41.67%
Saving Habits. Results show that out of the 72 respondents aged 17 & below; 35 (48.61%)
of them have Excellent Saving habits, 30 (41.67%) of them have Good Saving habits, and 7
(8.72%) of them have Poor Saving habits. On the other hand, out of the 48 respondents
aged 18 & above; 22 (45.83%) of them have Good Saving habits, 20 (41.67%) of them have
Excellent Saving habits, 4 (8.33%) of them have Poor Saving habits, and 2 (4.17%) of them
has a Very Poor Saving habits. These implies that there are a greater percentage of 17 and
below aged respondents who are financial literate than those of 18 and above aged
respondents in terms of Saving Habits.
37
Table 16
ABM students’ Debt-Management Habits comparison by Age
Behavior
Very Poor 1.00 – 1.75 0 0% 2 4.17%
Poor 1.76 – 2.50 4 5.56% 1 2.08%
Good 2.51 – 3.25 27 37.5% 20 41.67%
Excellent 3.26 – 4.00 41 56.94% 25 52.08%
Table 16 shows the comparison of Age (17 & below and 18 & above) in terms of Debt-
Management Habits. Results show that out of the 72 respondents aged 17 & below; 41
(56.94%) of them have Excellent Debt-Management habits, 27 (37.5%) of them have Good
Debt-Management habits, and 4 (5.56%) of them have Poor Debt-Management habits. On
the other hand, out of the 48 respondents aged 18 & above; 25 (52.08%) of them have
Excellent Debt-Management habits, 20 (41.67%) of them have Good Debt-Management
habits, 2 (4.17%) of them have Very Poor Debt-Management habits, and 1 (2.08%) of them
has a Poor Debt-Management habits. These implies that there are a greater percentage of
17 and below aged respondents who are financial literate than those of 18 and above aged
respondents in terms of Debt-Management Habits.
38
Table 17
ABM students’ Spending Habits comparison by Age
Behavior
Very Poor 1.00 – 1.75 0 0% 2 4.17%
Poor 1.76 – 2.50 1 1.39% 2 4.17%
Good 2.51 – 3.25 30 41.67% 18 37.5%
Excellent 3.26 – 4.00 41 56.94% 26 56.16%
Spending Habits. Results show that out of the 72 respondents aged 17 & below; 41
(56.94%) of them have Excellent Spending habits, 30 (41.67%) of them have Good
Spending habits, and 1 (1.39%) of them have Poor Spending habits. On the other hand, out
of the 48 respondents aged 18 & above; 26 (54.16%) of them have Excellent Spending
habits, 18 (37.5%) of them have Good Spending habits, 2 (4.17%) of them have Poor
Spending habits, and 2 (4.17%) of them has a Very Poor Spending habits. These implies
that there are a greater percentage of 17 and below aged respondents who are financial
literate than those of 18 and above aged respondents in terms of Spending Habits.
39
4.1.4 Level of Financial Literacy when grouped by Sex
This set of data will describe the financial literacy and compare the financial
behaviors of the respondents when grouped according to Sex.
Table 18
Male ABM students’ Financial Literacy
Behavior Literacy
Literacy
Financial Literacy
2.51 – 3.25 22 52.38% Good Moderate
Financial Literacy
Literacy
Table 18 shows, 22 (52.38%) of the Male respondents have a moderate financial
literacy, 15 (35.71%) have a high financial literacy, 3 (7.14%) have a slightly low financial
literacy, and lastly with 2 (4.67%) have a low financial literacy. These findings suggest that
the majority of Xavier University Senior High School ABM Male students are financially
literate.
40
Table 19
Female ABM students’ Financial Literacy
Behavior Literacy
1.00 – 1.75 0 0% Very Poor Low Financial
Literacy
Financial Literacy
2.51 – 3.25 38 48.72% Good Moderate
Financial Literacy
Literacy
Table 19 shows, 38 (48.72%) of the Female respondents from each high and
moderately high level of financial literacy and 2 (2.56%) have a slightly low. These findings
suggest that the majority of Xavier University Senior High School ABM Female students are
financially literate.
41
Table 20
ABM students’ Budgeting Habits comparison by Sex
Male Female
Behavior
Very Poor 1.00 – 1.75 3 7.14% 1 1.28%
Poor 1.76 – 2.50 6 14.29% 14 17.95%
Good 2.51 – 3.25 23 54.76% 41 52.56%
Excellent 3.26 – 4.00 10 23.81% 22 28.21%
Table 20 shows the comparison of Sex (Male and Female) in terms of Budgeting
Habits. Results show that out of the 42 Male respondents; 23 (54.76%) of them have Good
Budgeting habits, 10 (23.81%) of them have Excellent Budgeting habits, 6 (14.29%) of
them have Poor Budgeting habits, and 3 (7.14%) of them have a Very Poor Budgeting
habits. On the other hand, out of the 78 Female respondents; 41 (52.56%) of them have
Good Budgeting habits, 22 (28.21%) of them have Excellent Budgeting habits, 14 (17.95%)
of them have Poor Budgeting habits, and 1 (1.28%) of them has a Very Poor Budgeting
habits. These implies that there are a greater percentage of Female respondents who are
financial literate than those of Male respondents in terms of Budgeting Habits.
42
Table 21
ABM students’ Saving Habits comparison by Sex
Male Female
Behavior
Very Poor 1.00 – 1.75 2 4.76% 0 0%
Poor 1.76 – 2.50 5 11.9% 6 7.69%
Good 2.51 – 3.25 19 45.24% 33 42.31%
Excellent 3.26 – 4.00 16 38.09% 39 50%
Table 21 shows the comparison of Sex (Male and Female) in terms of Saving Habits.
Results show that out of the 42 Male respondents; 19 (45.24%) of them have Good Saving
habits, 16 (38.09%) of them have Excellent Saving habits, 5 (11.9%) of them have Poor
Saving habits, and 2 (4.76%) of them have a Very Poor Saving habits. On the other hand,
out of the 78 Female respondents; 39 (50%) of them have Excellent Saving habits, 33
(42.31%) of them have Good Saving habits, and 6 (7.69%) of them have Poor Saving habits.
These implies that there are a greater percentage of Female respondents who are financial
literate than those of Male respondents in terms of Saving Habits.
43
Table 22
ABM students’ Debt-Management Habits comparison by Sex
Male Female
Behavior
Very Poor 1.00 – 1.75 3 7.14% 1 1.28%
Poor 1.76 – 2.50 6 14.29% 14 17.95%
Good 2.51 – 3.25 23 54.76% 41 52.56%
Excellent 3.26 – 4.00 10 23.81% 22 28.21%
Table 22 shows the comparison of Sex (Male and Female) in terms of Debt-
Management Habits. Results show that out of the 42 Male respondents; 21 (50%) of them
have Good Debt-Management habits, 16 (38.09%) of them have Excellent Debt-
Management habits, 3 (7.14%) of them have Poor Debt-Management habits, and 2 (4.76%)
of them have a Very Poor Debt-Management habits. On the other hand, out of the 78
Female respondents; 50 (64.1%) of them have Excellent Debt-Management habits, 26
(33.33%) of them have Good Debt-Management habits, and 2 (2.56%) of them have Poor
Debt-Management habits. These implies that there are a greater percentage of Female
respondents who are financial literate than those of Male respondents in terms of Debt-
Management Habits.
44
Table 23
ABM students’ Spending Habits comparison by Sex
Male Female
Behavior
Very Poor 1.00 – 1.75 2 4.76% 0 0%
Poor 1.76 – 2.50 1 2.38% 2 2.56%
Good 2.51 – 3.25 17 40.48% 31 39.74%
Excellent 3.26 – 4.00 22 52.38% 45 57.69%
Table 23 shows the comparison of Sex (Male and Female) in terms of Spending
Habits. Results show that out of the 42 Male respondents; 22 (52.38%) of them have
Excellent Spending habits, 17 (40.48%) of them have Good Spending habits, 2 (4.76%) of
them have Very Poor Spending habits, and 1 (2.38%) of them has a Poor Spending habits.
On the other hand, out of the 78 Female respondents; 45 (57.69%) of them have Excellent
Spending habits, 31 (39.74%) of them have Good Spending habits, and 2 (2.56%) of them
have Poor Spending habits. These implies that there are a greater percentage of Female
respondents who are financial literate than those of Male respondents in terms of Spending
Habits.
45
4.1.5 T-tests
This set of data will find out the significant differences of the financial literacy of the
respondents when groups according to Age and Sex.
Table 24
T-test results between ABM Students aged 17 & below and 18 & above.
Mean 3.211111111 3.195833333
Observations 72 48
t Stat 0.185466369
P(T<=t) one-tail 0.42659084
t Critical one-tail 1.657869522
P(T<=t) two-tail 0.85318168
t Critical two-tail 1.980272249
Table 24 shows two-sample t-test assuming equal variances of Xavier University
Senior High School ABM Students aged 17 & below and 18 & above, with a mean of 3.21
and 3.20 respectively. Having a P two-tail value of 0.85318168, which is greater than the
alpha value of 0.05, indicates that the level of financial literacy between respondent’s aged
17 & below and 18 & above does not have a significant difference.
46
Table 25
T-test results between Male and Female ABM Students.
Male Female
Mean 3.096428571 3.263461538
Observations 42 78
t Stat -2.007336583
P(T<=t) one-tail 0.023499499
t Critical one-tail 1.657869522
P(T<=t) two-tail 0.046998997
t Critical two-tail 1.980272249
Table 25 shows two-sample assuming equal variances of Xavier University Senior
High School Male and Female ABM Students, with a mean of 3.09 and 3.26 respectively.
Having a P two-tail value of 0.046998997, which is lesser than the alpha value of 0.05,
indicates that the level of financial literacy between Male and Female respondents have a
significant difference.
47
4.2 Findings
4.2.1 Budgeting Habits
Based on the respondents budgeting habits, it is shown that they have a moderate
level of financial literacy as they garnered a value of 2.92 which is inside the range of
moderate in the four-point Likert Scale. This shows that the ABM students of Xavier
University Senior High School have a good performance in dealing with their financial
resources. Having this level, it shows that they are able to practice behaviors in budgeting
that led them to budget their money well but is not applied to a greater extent. As it is
revealed in the data, most of the respondents have a budget plan created as to where and
how they would spend their money. Though number then decreased when asked if they
follow the budget plan they created, the amount of respondents with good behavior is still
more than half of the total population. This behavior is observed by Richard Thaler (1981)
wherein the respondents exhibits the planner-self which thinks about the future. It was
also revealed that the respondents are moderately strict in managing their money and that
they monitor their expenses moderately. However, it was revealed that almost half of the
respondents seldom to never write their spending, showing that even though they have a
budget plan, it may or may not be strictly followed as their spending are only noted
mentally.
4.2.2 Saving Habits
The respondents exhibited good financial behavior based on their saving habits,
revealing a value of 55 (46%) in the bar graph. According to Denton, Fretz, and Spencer
(2011), the excess of income over total expenditures is referred to as saving. Expenditures,
48
as previously said, are life contributions, but saving behavior, on the other hand, is the
money preserved after an individual has used it for their own gain. This means that
majority of the students of Xavier University Senior High School are showing good behavior
in terms of saving their money in a way that they try to save money for the future and for
unexpected expenses rather than spending it. Furthermore, students have a habit of saving
money on a regular basis, even if it is only a little amount of their allowance. This brought
attention to the ideal attitude of “Propensity to save”, wherein one is capable to save
whenever and wherever he/she can. Modigliani, Ando and Brumberg (1950s) mentioned
that the financial education has an impact on teenagers' willingness to save, but it does not
always enhance their financial behavior. It's because some people may have poor financial
habits yet choose to operate in a resource-conscious manner, or just to be realistic. While
some people have a high degree of financial behavior as a result of financial education
courses they have completed, they do not use it effectively.
The majority of students may spend money on necessities, but they tend to save the
remainder. This means that they have an excellent saving habit that they can employ in the
long term. It was mentioned in The Life-cycle Theory of Consumption how a person's
consumption changes as he/she grows. Nevertheless, as we get older, our capacity to save
grows, as does the amount we can save. However, because the majority of students have a
reasonably high degree of financial literacy based on their saving practices, they still have
plenty of time to learn more about saving money and improve their financial behavior.
49
4.2.3 Debt Management
The result of Xavier University Senior High School students’ level of financial
behavior based on their debt management revealed a level of high with a value of 66
(55%). The level of financial behavior, according to Bahovec, Barbic, and Palic (2015), is
one of the elements that might impact debt behavior and lead to a rise in indebtedness. Due
to a high level of financial behavior, this indicates that the students have good financial
management habits. They were able to handle their debts in a good level manner, although
they tended to handle their debts at their convenience rather than following a properly
planned strategy most of the time. They already were aware of the possible effects of
borrowing money on a frequent basis, which may lead to indebtedness. As mentioned by
the New College of Florida (2018), It is critical to understand how you will account for and
pay off your debts, which includes taking into consideration your capacity to settle
obligations without losing all of your assets. As a result of their debt management
knowledge, students are less likely to borrow money from others in particular situations,
such as establishing regular debts only to purchase food or cover their school fees.
Furthermore, because of their knowledge, they consider their talents in resolving credit, as
demonstrated by Jayantilal (2017), who demonstrated that it could effectively manage an
individual's debt and grasp the amount of money that would be spent while borrowing.
When students were faced with a situation such as losing their major source of allowance
or income, they were able to quickly recover their school expenditures without incurring
debts. Because the students have a somewhat high level of financial conduct in terms of
debt management, they have exercised self-control in dealing with their current obligations
that are appropriate to their financial abilities to pay them off on time and the temptation
50
of being in debt. The Economic Theory of Self-Control developed by Richard Thaler in 1981
Self-control influences the financial conduct of any and all types of economic agents,
including families, businesses, governments, and central banks, according to the study.
Ethical behavior is present whenever a person has self-control. When a person lacks self-
control, on the other hand, he or she is more likely to make mistakes, be enticed by
pleasures, and engage in impulsive and excessive consumption.
4.2.4 Spending Habits
The highest level of financial behavior of the respondents is their Spending Habits
which has a value of 3.5. With this value, it enters the range of high level financial literacy,
meaning that the ABM students of Xavier University Senior High School have a high level of
financial literacy in their spending habits. This indicates that the students are able to apply
the knowledge they have gained through experiences and are highly responsible in this
aspect. It was revealed in the data that the students always considers the prices of the
products they buy. It is also shown in the results that even though a product or a service is
tempting they can resist the urge to spend on it. It is also shown that the students would
prefer to not spend all their daily within the day as they would prefer to save some. With
this behavior, the respondents are exhibiting the "planner-self" wherein they would choose
the reward of the future than the gratification in this instance (Thaler, 1981). The
respondents also prefer buying cheaper items rather than expensive ones that serve the
same purpose.
51
4.2.5 Age
Overall, both of the participants aged 17 & below and 18 & above are almost all
financially literate, with a percentage of 95.83% and 91.66% respectively. In comparison
with the two age ranges, participants aged 18 & above have a slight lead in the number of
financially literate individuals in terms of budgeting habits than those of aged 17 & below.
However, when it came to the saving habits, debt management habits and spending habits,
participants aged 17 & below are slightly more financially literate. With that being said,
based on the results of the t-test of Xavier University Senior High School ABM Students
aged 17 & below and 18 & above, it showed that the level of financial literacy between
respondent’s aged 17 & below and 18 & above does not have a significant difference.
Having almost equal mean of 3.21 for 17 & below and 3.20 for 18 & above and a p-value
greater than 0.05 implies that the financial literacy does not vary when grouped according
to age if the respondents are limited in senior high school (grade 11 and grade 12). Due to
the small age ranges scope of the study, it’s no surprise that age does not vary in this
financial literacy study. As Maslow’s Motivational theory indicates as individuals grow
older, their needs also develop.
4.2.6 Sex
Overall, both of the Male and Female participants are almost all financially literate,
with a percentage of 88.09% and 97.44% respectively. In comparison with the two Sexes,
female respondents have greater financially literate individuals than the males in terms of
budgeting habits, saving habits, debt-management habits and spending habits. With that
being said, based on the results of the between Xavier University Senior High School Male
52
and Female ABM Students, it showed that the level of financial literacy between Male and
Female have a significant difference. Having a mean of 3.09 for Male and 3.26 for Female
and a p-value lesser than 0.05 implies that the financial literacy does vary when grouped
according to age. According to a study in 2018, Adrian Furnham found that female students
had less comfort when dealing with debt and they preferred to put their money on savings
compared to male students. This indicates a difference in the financial behaviors of both
sexes. In addition, the result is supported by a study conducted by Okamoto and
Komamura, which said that in contrast to knowledge-based financial literacy, financial
behavior and attitudes among women are more preferable to those among men, namely,
more premeditated.
4.2.7 Overall
According to the results of the average mean of the variables, 44.17% of the sample
size, or 53 students, were classified as having a high level of financial literacy. This reveals
that these students were able to use the knowledge they had obtained in financial
situations from their environment in their daily lives. However, 50%, 60 students, of the
sample were classified as having a moderate level of financial literacy. This suggests that
these pupils performed well in terms of managing their money resources. They were able
to exercise budgeting habits, saving habits, debt management habits, and spending habits
that lead to them being financially responsible persons, although it should be highlighted
that these behaviors were not utilized to a greater level. Finally, 4.17%, 5 students, in the
sample size were found to have a slightly low level of financial literacy and 1.67%, 2
students were found to have a low level of financial literacy. This indicates that they were
53
unable to use their financial knowledge properly in their day-to-day dealings with money
at some time.
In general, Xavier University Senior High School ABM students are recognized as
having a relatively good to excellent financial behavior, which likewise suggests a moderate
to high financial literacy.
54
CHAPTER 5
SUMMARY OF FINDINGS, CONCLUSIONS, AND RECOMMENDATIONS
This chapter will focus on the summary, conclusions and recommendations that were
obtained from the data gathered and analyzed. This chapter will present the summary,
conclusions and recommendations of the study that will revolve around the financial
literacy of the respondents. Recommendations for further research are also included in this
chapter.
5.1 Summary of Findings
In assessing the financial literacy of ABM students with their financial behavior of
Xavier University Senior High School students, we shall study various factors in order to
assess today's generation's knowledge and readiness to deal with the realities of today's
economic environment. The demographic profile of a student containing their age and sex
allows us researchers to have a deeper understanding of their traits, of which can also help
support our research findings. In terms of our respondents’ age, 72 students are ages 17
and below. While on the other hand, there are 48 respondents are ages 18 and above.
The results of the average mean of the variables showed that 44.17% of the sample
size, or 53 students, had a high level of financial literacy. This proves that these students
were able to apply the financial knowledge they had gained from their environment in their
everyday lives. However, 50% of the students in the sample, or 60 students, were classified
as having a moderate level of financial literacy. This implies that these students performed
well in managing their financial resources. They were able to practice budgeting, saving,
55
debt management, and spending habits that led to their becoming financially responsible
individuals, although it should be noted that these behaviors were mot utilized to their
greater potential. Finally, in the sample size, 4.17%, or 5 students, have a slightly low level
of financial literacy, and 1.67%, or 2 students, had have a low level of financial literacy. This
implies that they were unable to use their financial knowledge properly in their day-to-day
dealings with money at some time.
In general, ABM students at Xavier University Senior High School are seen as having
good to excellent financial behavior, implying moderate to high financial literacy. Since
these students were able to benefit well from their knowledge gained from their education
in learning the concepts of financial literacy which have led them to develop and deepen
their knowledge more in finances.
5.2 Conclusions
As we evaluate today’s generations’ knowledge and readiness in coping with today’s
economic situation, we are to determine our respondents’ financial literacy through their
financial behavior. An individual’s perspective of the basic financial concepts is essential
since this is a huge factor which affects one’s financial behaviors such as their budgeting
habits, saving habits, spending habits, and debt-management habits. An individual’s
financial behavior is also affected by different factors such as their age and sex. In assessing
the financial literacy of the Senior High School students under the ABM strand of Xavier
University, the researchers obtained precise and accurate data using the descriptive
quantitative research design through a survey. The demographic profile of the respondents
in terms of sex is female and male while the age is ages 17 & under and 18 & above.
56
During our findings of each financial behavior, Data showed that the majority of
Xavier University Senior High School students are good in their saving habits or conserving
money in such a way that they are trying to save money for the future and for unexpected
needs rather than spending it. Furthermore, even if it is only a small portion of their
allowance, students have the practice of saving money on a regular basis. Results also
showed that in specific instances, students are less likely to borrow money from others;
yet, when students were presented with a situation such as losing their primary source of
allowance or income, they were able to quickly recover their school expenses without
accumulating debts. Since students have practiced self-control in dealing with their existing
responsibilities that are appropriate to their financial ability to pay them off on time and
the temptation of being in debt since they have a reasonably high level of financial conduct
in terms of debt management. In terms of the students’ spending habits, students always
consider the prices of the products they buy. It is also shown in the results that even though
a product or a service is tempting they can resist the urge to spend on it. It is also shown
that the students would prefer to not spend all their daily within the day as they would
prefer to save some. In the students’ budgeting habits results showed that, Students
showed a good performance in managing their financial resources having this level
indicates that they are able to engage in budgeting activities that have resulted in them
being able to manage their money well, but not to a greater extent. According to the data,
the majority of respondents have made a budget plan for where and how they will spend
their money. However, it was revealed that almost half of the respondents seldom to never
write their spending, showing that even though they have a budget plan, it may or may not
be strictly followed as their spending are only noted mentally.
57
Data showed that there is a significant relationship in the financial literacy of the
respondents in terms of their financial behavior since this has an impact to the
respondents’ decision-making in their daily expenditures. And as to their significant
difference in the financial behavior of the respondents in terms of their sex and age, Data
showed that there is a significant difference in the financial behavior of the respondents in
terms of their age and sex. Results showed that in comparison with respondents ages 17 &
below to respondents ages 18 & above, respondents ages 17 & below have a greater
percentage in their spending behavior. On the other hand, Data showed that there is a
significant difference in the financial behavior of the respondents in terms of sex. Results
showed that female respondents who are financially literate have a greater percentage
than male respondents in terms of their spending habits. In the significant difference in the
financial literacy of respondents according to sex, Data showed that there is a significant
difference in the financial behavior of respondents according to sex. Results showed that in
comparison with male respondents, female respondents have greater financial literacy
when referring to budgeting habits, saving habits, debt-management habits and spending
habits. While on the other hand, Data showed that there is no significant difference in the
financial literacy of the respondents according to age. This goes to show that financial
literacy does not vary when grouped according to age since respondents are from grade
levels 11 and 12. As to Maslow’s Motivational Theory indicates that individuals grow older,
their needs also develop. And as to their significant difference in the financial behavior of
the respondents in terms of their sex and age, Data showed that there is a significant
difference in the financial literacy of the respondents in terms of their age and sex. Results
showed that in comparison with respondents ages 17 & below to respondents ages 18 &
58
above, respondents ages 17 & below have a greater percentage in their spending behavior.
On the other hand, Data showed that there is a significant difference in the financial
behavior of the respondents in terms of sex. Results showed that female respondents who
are financially literate have a greater percentage than male respondents in terms of their
spending habits.
In general, Xavier University Senior High School ABM students are recognized as
having a relatively good to excellent financial behavior, which likewise suggests a moderate
to high financial literacy. This indicates that these students performed well in managing
their financial resources. They were able to practice budgeting, saving, debt management,
and spending habits that led to their becoming financially responsible people, however it
should be noted that they did not use these behaviors to their full potential. Finally, in the
sample size, 4.17 percent, or 5 students, had a slightly low level of financial literacy, while
1.67 percent, or 2 students, had a low level of financial literacy.
5.3 Recommendation
Students must have the open mind to continue to learn about financial management,
especially that college is fast approaching, which is a more financially challenging period of
their lives. As individuals, they must be the ones to show initiative in regards to this.
Students are recommended to try their best in budgeting their money and be mindful of
their spending. Furthermore, they are also recommended to keep up with economic news
like inflation rates, taxes, and laws that may affect their daily budgeting.
59
Teachers are encouraged to be flexible in their teaching styles, to somehow find a time to
also teach students practical lessons about financial management, especially banking,
savings, investing etc.
Administrators of XUSHS must know that based on the results of the study, there are
more students who perform well in handling their finances than those who don’t. However,
it is still encouraged to at least have some webinars or publication materials about financial
management available online to reach the students. Very particular recommendation from
the researchers is that, to have a webinar about how to open a bank account since there are
a number of students who still doesn’t have one.
Parents are advised to give their children what they know about managing finances.
Perhaps, let them witness if they will do financial transactions, especially opening a bank
account and teach them how to operate it.
Future Researchers determine other factors that can affect a student’s financial literacy.
In order to further the study, increase the number of profiling of the respondents, including
other demographic profiles such as allowance and grade level. Also, future researchers can
introduce a new variable that has a relationship with the level of financial literacy of the
student, perhaps people that influence the student’s financial behavior.
60
BIBLIOGRAPHY
Bahovec, V., Barbic, D., & Palic, I. (2015). Testing the effects of financial literacy on debt
behavior of financial consumers using multivariate analysis methods. Retrieved
from ResearchGate:
https://www.researchgate.net/publication/284277397_Testing_the_effects_of_fin
ancial_literacy_on_debt_behavior_of_financial_consumers_using_multivariate_analy
sis_methods
Bell, A. (2021). 6 reasons why you need a budget.
https://www.investopedia.com/financial-edge/1109/6-reasons-why-you-need-a-
budget.aspx
Binti Azmi, N. F., & Ramakrishnan, S. (2018). Relationship between Financial Knowledge
and Spending Habits among Faculty of Managementâ€™s Staff. Journal of
Economic Info, 5(3), 1-6. https://doi.org/10.31580/jei.v5i3.102
Chen, J. (2021, December 22). Heuristics. Retrieved from Investopedia:
https://www.investopedia.com/terms/h/heuristics.asp
Corporate Finance Institute. (2021). Financial Literacy.
https://corporatefinanceinstitute.com/resources/knowledge/finance/financial-
literacy/
D. Andriani and N Nugraha 2018 IOP Conf. Ser.: Mater. Sci. Eng. 407 012089
De St. Paer, J. (2019). Why behavioral finance is important in today's market environment.
https://www.linkedin.com/pulse/why-behavioral-finance-important-todays-
market-jonathan-de-st-paer
61
DJS Research. (2020). Quantitative Research Design. Retrieved from djsresearch:
https://www.djsresearch.co.uk/glossary/item/Quantitative-Research-
Design#:~:text=Quantitative%20research%20design%20is%20aimed,the%20aim
%20of%20qualitative%20research.
Fernando, J. (2021). Financial Literacy. https://www.investopedia.com/terms/f/financial-
literacy.asp
Ganti, A. (2021). Budget. https://www.investopedia.com/terms/b/budget.asp
Heath, R. (2021, August 31). What is Debt Management? Retrieved from Bankrate:
https://www.bankrate.com/personal-finance/debt/what-is-debt-management
Hilgert, M., Hogarth, J., & Beverly, S.G. (2003). Household Financial Management: The
Connection Between Knowledge and Behaviour. Federal Reserve Bulletin,
(Jul),309-322. Retrieved from:
https://www.federalreserve.gov/pubs/bulletin/2003/0703lead.pdf
https://lib.dr.iastate.edu/rtd/864.
Kagan, J. (2021). Savings. https://www.investopedia.com/terms/s/savings.asp
Lusardi, A. (2019). Financial literacy and the need for financial education: evidence and
implications. Swiss J Economics Statistics 155, 1 (2019).
https://doi.org/10.1186/s41937-019-0027-5
Merriam-Webster Dictionary. (2021). Saving. https://www.merriam-
webster.com/dictionary/savTT
Morgan, P.J. and L. Q. Trinh. 2017. Determinants and Impacts of Financial Literacy in
Cambodia and Viet Nam. ADBI Working Paper 754. Tokyo: Asian Development
62
Bank Institute. Available: https://www.adb.org/publications/determinants-and-
impacts-financialliteracy-cambodia-and-viet-nam
My Money Coach. (2021). What is budgeting and why is it important?
https://www.mymoneycoach.ca/budgeting/what-is-a-budget-planning-
forecasting#:~:text=Since%20budgeting%20allows%20you%20to,you%20are%2
0currently%20in%20debt.
Nababan, D., & Sadalia, I. (2012). Analisis Personal Financial Literacy dan Financial
Behaviour Mahasiswa Strata 1 Fakultas Ekonomi Universitas Sumatera Utara.
https://jurnal.usu.ac.id/index.php/jmim/article/view/651
Nicolini, G. (2019). Financial literacy in Europe: Assessment methodologies and evidence
from European countries.
https://books.google.com.ph/books?id=fSiFDwAAQBAJ&printsec=frontcover&dq=
financial+literacy&hl=en&sa=X&ved=2ahUKEwjkp4PIlMn0AhXjrlYBHW8MAiAQ6
AF6BAgLEAI#v=onepage&q=financial%20literacy&f=false
Okamoto S, Komamura K (2021) Age, gender, and financial literacy in Japan. PLoS ONE
16(11): e0259393. https://doi.org/10.1371/journal.pone.0259393
Ozmete, E. (2015). Measuring the poverty of elderly people with needs analysis in Turkey.
https://www.igi-global.com/chapter/measuring-t he-poverty-of-elderly-people-
with-needs-analysis-in-turkey/128625
Ritchie, A. (2021). Financial Literacy. https://www.annuity.org/financial-literacy/
Team Finfirst. (2021). The importance of having savings.
https://www.idfcfirstbank.com/finfirst-blogs/finance/importance-of-having-
savings
63
Tezel, Z. (2015). Financial education for children and youth. https://www.igi-
global.com/chapter/financial-education-for-children-and-youth/128621
Zucchi, K. (2021). Why financial literacy is so important.
https://www.investopedia.com/articles/investing/100615/why-financial-
literacy-and-education-so-important.asp
64
APPENDICES
A.) Questionnaire (via Google Forms)
65
66
B.) Raw Data (via Microsoft Excel)
67

Financial Behavior of Abm Students As Indication of Their Financial Literacy

Uploaded by

Copyright:

Available Formats

You might also like

Financial Behavior of Abm Students As Indication of Their Financial Literacy

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Financial Behavior of Abm Students As Indication of Their Financial Literacy

Uploaded by

Copyright:

Available Formats

FINANCIAL BEHAVIOR OF ABM STUDENTS

AS INDICATION OF THEIR FINANCIAL LITERACY

Abdel Hakim Diangka

Abdel Hakim Diangca

Ms. Lourdes L. Bett

BEHAVIOR OF ABM STUDENTS AS INDICATION OF THEIR FINANCIAL LITERACY” submitted

submitted to this or any other school for a degree or other requirements.

ABDEL HAKIM DIANGCA ABDUL RAHEEM A. MAMAINTE ADLAI MANUEL E. ONG

EZEKIEL HAKEEM M. RANA NATHAN JOSH B. RUELO ANTONETTE A. SURVILLA

MIKE ANTHONY TRIGOSA

This Research Paper entitled: “FINANCIAL BEHAVIOR OF ABM STUDENTS AS

INDICATION OF THEIR FINANCIAL LITERACY” prepared and submitted by ABDEL HAKIM

DIANGCA, ABDUL RAHEEM A. MAMAINTE, ADLAI MANUEL E. ONG, EZEKIEL HAKEEM M.

examined and is recommended for Oral Examination.

Approved by the Committee on Oral Examination with a passing mark.

Mr. Ray Michael S. Homeres, LPT, MBA

Ms. Maricar C. Obsioma, LPT Ms. Lourdes L. Bett, MBA

Senior High School.

DR. ROGELIO L. GAWAHAN, PhD

helped us in making this research possible.

every speck of knowledge to us.

whatever it takes to conclude this research study.

Keyword: financial literacy, financial behavior, budgeting habits, spending habits,

APPROVAL SHEET iii

TABLE OF CONTENTS vii

LIST OF TABLES viii

CHAPTER 1 THE PROBLEM 1

Background of the Study 1

Statement of the Problem 3

Significance of the Study 5

Scope and Delimitation 6

CHAPTER 2 REVIEW OF RELATED LITERATURE 8

CHAPTER 3 RESEARCH METHODOLOGY 20

Context and Participants 20

Data Gathering Instruments 21

CHAPTER 4 PRESENTATION AND INTERPRETATION OF DATA 27

CHAPTER 5 SUMMARY OF FINDINGS, CONCLUSION AND

Table Title Page Number

1 Variable Measured per Question 22

2 Financial Literacy Level 25

3 Likert's Scale Value 25

5 Demographic Profile by Age 28

6 Demographic Profile by Sex 28

7 ABM Student's Financial Literacy 29

8 ABM Student's Budgeting Habits 30

9 ABM Student's Saving Habits 31

10 ABM Student's Debt-Management Habits 32

11 ABM Student's Spending Habits 32

12 17 years old & below ABM students’ Financial Literacy 34

13 18 years old & above ABM students’ Financial Literacy 35

14 ABM students’ Budgeting Habits comparison by Age 36

15 ABM students’ Saving Habits comparison by Age 37

16 ABM students’ Debt-Management Habits comparison 38

17 ABM students’ Spending Habits comparison by Age 39

18 Male ABM students’ Financial Literacy 40

19 Female ABM students’ Financial Literacy 41

21 ABM students’ Saving Habits comparison by Sex 43

22 ABM students’ Debt-Management Habits comparison by 44