KOLEHIYO NG SUBIC

WFI Compound, Wawandue, Subic

Zambales, Philippines
EFFECTS OF HAVING FINANCIAL PROBLEMS TOWARDS THE ACADEMIC
BEHAVIOR OF SENIOR HIGH SCHOOL STUDENTS OF SUBIC NATIONAL HIGH
SCHOOL

By
Ebalobo, Kristine
Yaon, Rick

A Manuscript
Submitted in Partial Fulfillment
of the Course Requirements for the Degree of
 KOLEHIYO NG SUBIC
WFI Compound, Wawandue, Subic
Zambales, Philippines
BUSINESS RESEARCH

February 18, 2023

APPROVAL SHEET
This manuscript entitled
EFFECTS OF HAVING FINANCIAL PROBLEMS TOWARDS THE ACADEMIC
BEHAVIOR OF SENIOR HIGH SCHOOL STUDENTS OF SUBIC NATIONAL HIGH
SCHOOL
In partial fulfillment of the requirements for the degree of
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION
Prepared and Submitted by
EBALOBO, KRISTINE
YAON, RICK
is reviewed and recommended for an oral examination.

DR. MELCHOR MONTENEGRO

FACULTY ADVISER
=====================================================================
==============
Approved by the Committee of Oral Examiners
DR. MELCHOR MONTENEGRO
Committee Chair
MR. ROD S. TAN CPA, MBA MR. SAMUEL
JOHN COCHING LPT
Member
Member
=====================================================================
================
Accepted as a requirement for the degree of
BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION
 KOLEHIYO NG SUBIC
WFI Compound, Wawandue, Subic
Zambales, Philippines
On
February 18, 2023

DR. ELIZA M. BENITEZ CPA, MBA, DPA

Dean

DR. ELIZA M. BENITEZ CPA, MBA, DPA

Dean
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WFI Compound, Wawandue, Subic
Zambales, Philippines

ABSTRACT
EFFECTS OF HAVING FINANCIAL PROBLEMS TOWARDS THE ACADEMIC
BEHAVIOR OF SENIOR HIGH SCHOOL STUDENTS OF SUBIC NATIONAL HIGH
SCHOOL
By
Ebalobo, Kristine
Yaon, Rick
Bachelor of Science in Business Administration
DR. MELCHOR MONTENEGRO
Adviser

This study focuses on the effects on the academic behavior of students of Subic National High
School while they are having financial difficulties. This study will examine how having these
difficulties can affect their academic behavior. The research also determines
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WFI Compound, Wawandue, Subic
Zambales, Philippines

Chapter 1
1.1 THE PROBLEM AND ITS BACKGROUND
Introduction
To develop a financial freedom and to build a sustainable life, one must not only have a
stable job and income. One must develop a proper mindset of handling their finances when it is
available and also having a financial knowledge to build a life of wealth and freedom. Sure that
this doesn't just happen overnight. It is a process of a person's life to ensure the stability of them,
their children's education and long-term goals in the future.
Wealth and financial freedom aren't just the main focus of this study but also the
motivation of an individual and in this study, these individuals are called the "students". Oftenly,
when we are in a financial hiatus, our brain tends to focus more on this side of the issue and we
unnoticeably lose our focus on the other side that is the other important things like our family if
we have, the children and their needs and also the grip that we have for ourselves. The focus of
this study is about the students typically, the Senior High School students of Subic National High
School and how their academic performance is affected while they are in a financial crisis.
Some students are currently having financial difficulties with their education and a
shortage of necessary school supplies. Extending two more years of High School is another issue
for some parents. Also, there are parents whom cannot afford to pay for their children's education
due to their disability. Moreover, other students will be less educated if they do not receive a
financial aid because that is also an important factor. Making a stable job these days to pay for
necessities like food and supplies can be challenging for families but, they are trying their best to
provide what is needed so they can send their kids to school. Additionally, this book concentrates
on money even if civic education and empowerment requires space and resources outside the
classroom.

Financial difficulty for students

A financial difficulty is when stress is being brought on by money worries. However,
recent financial issues have plagued students and have grown to be a significant issue for them.
Students sometimes experience financial difficulties because they lack the funds to cover their
everyday expenses, which makes them anxious. After then, financial issues will have an effect
on their physical and emotional health. Halliday Wynes (2014) asserts that a student's financial
situation will have an impact on their commitment to studying, which will have an impact on
their academic achievement. Consequently, we carried out a research to demonstrate the effects
 KOLEHIYO NG SUBIC
WFI Compound, Wawandue, Subic
Zambales, Philippines
poor money management has on high school students' academic performance and possible
solutions.

1.2 Statement of the Problem

This study is aimed to determine the effects of financial problems towards the academic
behavior of Senior High School students of Subic National High School.
Academics in High School plays an integral part of the student’s learning capabilities. It
measures how well their learning processes catch up with their understanding of the subject. By
teaching them theories, science, numbers and facts, their brain processes these information and
they formulate those into their own understanding allowing their mind to catch up and store these
information. But this is where the underlying problems begin.
A student may learn naturally by acquiring these information and allowing their thoughts
to process it so it can be stored to their memory. When we are in grade school or even in High
School, we understand that the brightest students that excel well in academics are those who
aren’t just fast learners but also good learners by retaining what they have learned through
memory. Well, each student varies and that’s because of the factors that affects their learning
behavior. In this study, we are more focused about the academic behavior of students brought
about a financial distress and below are the determinants of each factors that may affect their
academic behavior.

What is the profile of the respondents

1. Age
2. Sex
3. Monthly income of a family
4. Type of job of both parents
5. Educational background of the parents
6. Extra money of students

Money is still vital in today's world, but the problem is that some individuals have a lot of
it while the others have less than they need. The majority of senior high school students, in
particular, are in financial trouble because they lack expertise about how to handle their finances.
When senior high school students are experiencing financial difficulties, they will be under a
 KOLEHIYO NG SUBIC
WFI Compound, Wawandue, Subic
Zambales, Philippines
great deal of stress and will find it difficult to focus on the lecturer. This will have an impact on
their academic performance, including their grades and results, and will affect their future when
looking for employment.
1.2.3 Lack of emergency funds to cover costs
In today's environment, it is typical for college students to not save any money. However,
they were unaware that mishaps could occur at any time. When an accident occurs, they are
forced to use their credit cards, increasing their debt, because they do not have enough money in
their savings account to cover the necessary expenses. According to (Maureen, 2019), lacking a
savings account is the primary cause of debt for people.
1.2.4 A financial issue that interferes with personal life
A senior high school student's personal life will be impacted by persistent financial stress
when they experience sleep issues as a result of worrying about their financial situation and
being unable to relax. Financial difficulties can also have an impact on a student's mental health,
causing them to experience depression and anxiety. (Thomas Richardson, 2013) asserts that there
is a direct link between financial difficulties and depression.
This is the cause of having financial nightmares or as we call it in this study, financial
problems. Within the basic unit of society which is family, we cannot deny the fact that when we
a family or students lacks financial support, it affects them ultimately. Many factors may be
considered as to why almost each of us had experienced such. It could be because of our family
backgrounds, the differences of income per family or also the mindset that subliminally affects
the lack of financial freedom that we experienced. While all the more obvious reason of financial
stress is money shortage, it is deemed necessary to consider as how and why this happens. This
is the reason of our research.
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WFI Compound, Wawandue, Subic
Zambales, Philippines

1.3 Conceptual Framework

The figure shows the paradigm of the study regarding the research cycle or steps.

INPUT PROCESS OUTPUT

Profile of the
respondents  Presentation of data and
A. Administering analysis and interpreting
Age, sex, monthly Questionnaires the data results and
income of family, answers
type of job of B. Interview
both parents, C. Pre-analysis
educational  The researcher found out
background D. Observation the effects of having a
financial problem on the
E. Presentation of Data academic performance of
the students
F. Analyzation of Data

G. Interpretation of Data
 Recommendation on each
effects

1.4 Hypothesis
 KOLEHIYO NG SUBIC
WFI Compound, Wawandue, Subic
Zambales, Philippines
The study is directed to identify the relationship of a financial problem and the academic
behavior of the students of Subic National High School. To further understand this relationship,
the following hypotheses were tested:
There is a significant relationship between a family and the student/s that there is. By
allowing us to determine the type of family background of a family through their profiles, we can
distinguish the behavioral stimuli of the students.
The concept of positive academic performance of the students has a direct correlation
between the struggle (financial nightmares) and their providers (parents or family).
Improved performance has a direct impact over improved financial assistance from the
financial providers of the students. Declined financial assistance results to declined performance
of students as they can perceive well if their providers are under financial stress.
Financial freedom aren't just the only motivation for students to achieve academic
excellence.

1.5 Significance of The Study

To the students
The findings of our study will give benefits to senior high school students by giving
advice to them on how to manage their money wisely so they wouldn’t face financial problems
since the financial problem would give them troubles. By lessening the stress, they give more
attention to their studies that will lead them to knowledge acquisition, application and success.
When students are stressed, they can still pay attention to their studies but on a micro level only
and that significantly affects their grades and over-all performance. However, they will know
how to solve these financial problems they are facing with the recommendation that will be
given at the end.
To the parents
With this study, parents can determine which area they truly lack as a provider of their
child's necessities including the financial necessities. As stated above, wealth and freedom aren't
just the main focus of this study but with parents knowing what to work on their behalf, it can
greatly affect the motivation of their students academic performance leading to success and
destroying the cycle of having a financial nightmare in families.
To the community, schools and other organizations
Most communities lack the knowledge of basic handling of their finances. What the
community can benefit from this research is that to have a successful community means to be a
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WFI Compound, Wawandue, Subic
Zambales, Philippines
leader of your own, individual body. That means to be disciplined financially, physically and
mentally.
Other schools can benefit from this research because they can use this as a guide to the
learners to have financial freedom and to avoid having financial conflicts in the future.
To the Future Researcher
To the future researcher, research is not an easy task but with this study, they can use this
as a research basis about finance, positive performance and future stability.
1.6 Scope and Delimitations
The study is specific about finding out the effects of financial problems to the academic
performance of the students and giving out possible opportunities and recommendations brought
about these problems. The psychological factors behind experiencing the problems are casually
introduced in the study but aren't emphasized. Generating more income for the family to assist
the students more financially is also a limitation of this study.

1.7 Definition of Terms

Behavioral stimuli- the action or result that has taken place after another.
Declined financial assistance- this takes place when a provider has lower supply than before or
usual.
Declined performance- when one is demotivated to perform due to some decreasing factor
Financial freedom- without any money stress of difficulty
Financial stress- synonymous to financial difficulty, financial trouble, financial nightmare that
one experiences when financial resources are not handled in a proper way and are limited.
Improved financial assistance- this takes place when a provider consequently assist the
financial needs of a person
Improved performance- when one is motivate to perform due to some increasing factor
Long-term- concerns with the future; promoting the process of stability
Money shortage- when a person lacks money
 KOLEHIYO NG SUBIC
WFI Compound, Wawandue, Subic
Zambales, Philippines
Motivation- a positive or negative attitude that usually affects the mood of a person that affects
performance.

CHAPTER 2
REVIEW OF RELATED LITERATURE AND STUDIES
2.1 Relevant Theory
2.1.1 Behaviorism Theory
Behaviorism or behavioral learning theory emerged as a reaction against introspective
psychology in the 19th century (WGU.EDU 2020). Watson and Skinner are two popular names in
the behaviorism scheme. They believe that the ultimate determining factor for our behavior is
because of our environment. Pavlov’s Dog experiment is a popular behaviorism experiment. A
group of dogs is conditioned to be given their food after ringing a bell. After enough repetition of
this certain act, the group of dogs would expect to have their food after the bell rang. This is
exactly what behaviorism argues—that the things we experience and our environment are the
keys of how we react.
The stimulus-response sequence is a key element of understanding behaviorism. A
stimulus is given to us so it activates the part of our brain to attention and the response is what
happens next.
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WFI Compound, Wawandue, Subic
Zambales, Philippines
Behaviorism Learning Theory
In the classroom, the behavioral learning theory can be applied by the means of
motivating the students. Information is then transferred from teachers and then acquired by
learners from a response to the right stimulus. Now, the determining factor of behaviorism theory
is how students effectively acquire this information and turn it into knowledge. Each learner is
different but given the right stimulus, it will help them respond better and accurate. Positive
reinforcement is key in the behavioral learning theory. Without this positive reinforcement,
students will quickly abandon their right senses because it doesn’t fulfill and reward them. For
example, if students in the classroom were tasked to get high grades at the end of the semester, a
positive reinforcement should take afterwards. It could be in a form of praise, acknowledgement
or giving rewards for them. Their behavior is connected to that reward.
Repetition and positive reinforcement go hand-in-hand with the behavioral learning
theory. Teachers often strive to work for the balance of repeating a trial and having the positive
reinforcement it takes to show students why they should continue their behavior. After all, it is
their primary role to get students the best of them.
This is where motivation comes to life. It plays an important role in the behavioral
learning process. Positive and negative reinforcement can be the motivating factor of students
towards their behavior. In a workplace setting for example, an employee who is appraised for
their good conduct may continue and excel than the one employee who did the same but isn’t
getting the recognition it deserves. This can be a root of demotivation. This employee who
receives no praise for his good conduct is experiencing a negative reinforcement—their brain
tells them that their positive attitude didn’t matter so their behavior becomes unimportant to
them. Conversely, those employees who gets the positive reinforcement see a direct correlation
to continuing excellence at work. It is based on a response to a positive stimulus.

2.2 Foreign Studies

The Financial Problems and Academic Performance Among Public University Students in
Malaysia (2020)
According to this foreign study, those students who are well-off have good academic
behavior than those who don’t. Families strive to have a convenient life and that includes that
welfare of their kids including their school and studies so they do not need to Financial problems
are commonly faced by everyone, especially for those who come from underprivileged or low-
income families. According to Asri, Abu Bakar, Laili and Saad (2017), stated that although
students do not have a commitment on paying monthly debt instalments like other households,
however, their status as students requires them to pay their education fees, rents and other
essentials, by which they received the financial from loans, scholarships or their families. In
addition, students who come from underprivileged or low-income families might affect their
academic performance. Many past research has been done to show a relationship between
financial problems and the students' academic performance. According to Olufemioladebinu,
Adediran and Oyediran (2018), the parent’s income or social status has positively affected the
students' academic performance in an examination.
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Zambales, Philippines
This can be further supported by a previous study by Olufemioladebinu et al. (2018)
explained that students who come from low socio-economic family status tend to show a poor
academic performance compared to students who come from a better family background status.
To add, according to Asri et al. (2017) stated that students who come from a high economic
status are able to have a stimulating learning environment. Hence it is possible for those who
have a better family financial background to excel well and achieve a better academic
performance compared to those students who come from lowincome families. According to
Nnamani, Dikko and Kinta (2014), they mentioned that financial problems of the students
extremely contribute to the students low academic performance, which therefore leads to the low
quality of education in many ways. As stated in this early literature, financial problems lead to
the financial stress which will eventually influence the low academic performance of the
students. A study from Widener (2017), they mentioned that financial stress has been
consistently related to the students' low academic performance. According to a study by Asri et
al. ( 2017), mentioned that there are many factors that contribute to students academic
performance. However, family socio-economic are the significant factors as it involves financial
management which will provide motivation for the students to either have passion or not to
achieve in their academics.
According to Dang and Bulus (2015), stated that many Americans are affected by the
economic downfall. Even college students often worry about their finances, which then this
financial worry may affect their academic performance as the students are dividing their
attention between financial and academic. Hence this can be stated that the family's finances
aremotivation and encouragement for the students to have a good academic performance. Asri et
al. (2017) added that when a highly motivated student encounters a financial problem, the
student will turn the problem into motivation for them to achieve success. Therefore, whatever
problems that come, which include financial problems, should not hinder the students if they
want to succeed academically.
According to Widener (2017) mentioned that there are two ways of how a financial
problem could affect the students academic performance which are health problems and having
to work part-time. Widener (2017) further added that financial problems lead to health problems
such as anxiety which then lead to negative behaviours such as addiction to alcohol or
uncontrolled shopping, hence making the students lose their focus on their academics. When
students face financial problems to cope with the high cost of living, they are more exposed and
vulnerable to health problems. Therefore, here comes the issue of whether students who have
financial problems can handle the stress of managing their daily lives and finance. According to
Asri et al. (2017) stated that poor financial management could cause an individual unable to
control the stress and thus it affects their daily life such as health by making them depressed and
becoming physically ill. This can be further supported by the study of Asri et al. (2017) which
stated that one of the causes of stress among students is because of their financial problems in
which the students tend to feel dizzy and have anxiety that will eventually create tension with
them.
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WFI Compound, Wawandue, Subic
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In other words, financial problems lead to various problems that will eventually affect the
students academic performance. Another way financial problems could affect the students'
academic performance is stated by Widener (2017), in order to overcome the financial problems,
most students make a decision of having to work part-time and even working for a long horse,
which takes away their time focusing on their academics. Hence, having a part-time job leads to
a lack of studying, taking less credit hours and also poor attendance resulting in their poor
academic performance. This can be supported by a study from Widener (2017). It found that
students who are financially depressed had lower grades and enrolled in fewer credit hours. Most
students are involved in part-time jobs given by universities or local companies. According to
Asri et al. (2017), the students who come from underprivileged socio-economic status families
are often constrained by problems such as needing to work to help their families, incapable of
buying learning materials that will ultimately impact their academic performance. According to
Perman (2019), CNBC journalist, stated that having a part-time job during the study takes
agreater impact on low-income students, whereby approximately 6 million students took a part-
time job, and most of them are women, Blacks and Latinos. By juggling between jobs and
academics, some students have to struggle to overcome and manage their financial problems.
This affects their academic performance as they have to divide their focus and attention
between work and their academics. Perman (2019) also mentioned that approximately 59% of
students from underprivileged or low-income families worked for 15 hours and more, and they
received a C average or lower for their academics. This does not only affect the students
schedule as they not only have to manage their time for classes and assignments, but they also
have to manage and plan their part-time job schedule accordingly. This will eventually affect
their academic performance and add to health problems such as fatigue. As the effect of this
financial problem, students tend to be less socialising, skip classes, and take a toll on their health,
leading to poor academic performance. According to Asri et al. (2017), stated that due to
financial problems, some students tend to be quiet, unsocialised with their friends and less
interaction in class thus leads to a decrease in their academic performance due to their lack of
interaction in acquiring knowledge.