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Chapter 1
THE PROBLEM

This chapter provides a brief description of the introduction, background of the

study, statement of the problem, conceptual framework, research hypothesis, significance
of the study, scope and limitation of the study, and definition of terms used in this study.

Introduction
Financial literacy is a basic concept in understanding money and its use in daily life.
This include the way income and expenditure are managed and the ability to use the
common methods of exchanging and managing money. Further, financial literacy
incorporates an understanding of everyday situations that need to be understood such as
insurance, credit and an appreciation of savings and spending. The understanding of
financial terms and concepts include an understanding of key financial concepts central to
investing and managing funds to increase wealth and security. Individuals require an
awareness of features available for borrowing and investing.
The need for financial literacy becomes inevitable since today’s world markets are
full of complicated products. Considering the spending habit of people especially
students and the desire to have every material thing, it is therefore imperative to inculcate
financial literacy among people. Senior high school students in recent times tend to have
easy access to funds, but on the contrary have proven to have inadequate financial
literacy and as a result have become impulsive buyers (Danes, Huddleston and Boyce,
1999). Financial literacy influences how people save, borrow, invest and manage their
financial affairs. It therefore affects their capacity to grow their wealth and income, and
has significant implications for people’s lifestyle choices. Financial literacy also has a
significant part to play in influencing financial institutions. Because financial literacy
influences people’s investment decisions, including risk/return trade-offs, it also affects
how resources in the economy are allocated, having said that it is significant that an early
age student know how to make sound financial decision and realize the importance on
how to manage their finances.
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Students who attended in schools were assumed to possess financial support from
families. This allowed student affairs professionals to promote personal development in
other areas. Today, more students arrive at high school and college with diverse financial
support, backgrounds, and skills. This diversity suggests that promoting financial literacy
is an issue that needs to be addressed on campuses.
The aim of the study is to know the financial management of senior high school
students in Tanauan School of Fisheries for the school year 2019-2020. The study would
provide the students more knowledge about their financial decisions.

Background of the Study

The topic Ässessment of Financial Financial Management Practices of Senior High
School Students in Tanauan School of Fisheries: basis for Financial Literacy Program
was selected by the researcher because of the fact that Senior High School students in
Tanauan School of Fisheries are not exposed to basic personal finance literacy before
completion, as the school curriculum places emphasis on getting admission to tertiary
institutions rather than inculcating financial literacy such as money management,
investments, mutual funds, insurance and taxes into the syllabus. The inadequate personal
finance among Senior High School students then has undesirable effects on student’s
decision making. In addition, “financial hardship” can increase isolation, emotional
stress, depression and lower self-esteem, which in turn, can generate or worsen “marital
tensions” that leads to divorce or separation once they enter marriage (Wolcott and
Hughes:1999, 10). Most importantly, the lack of financial literacy may lead the young
adults, the future labor force contributors, to become involved in a higher level of
financial problems during the school life, which has a significant effect on their present
and future family, and professional life. The issue of personal finance therefore must be
given the needed attention as students would be facing the realities of economic
hardships after school. This implies that there is the need of senior high school students to
be equipped with financial literacy in order to achieve some degree of financial
autonomy.
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As the world faces further economic uncertainty, it is important that we equip our
children with the financial literacy skills they need to make wise decisions about how
they will save and spend their money.” Simon Martin, Head of Group Companies
Sustainability at HSBC. Having financial literacy skills is an essential basis for both
avoiding and solving financial problems, which, in turn, are vital to living a prosperous,
healthy and happy life. In this context, the purposes of present study are to: (1) determine
the level of financial literacy among Senior High School students, (2) find out the
difference between financial literacy and students’ characteristics, and (3) provide an
information resource that will assist with the development of strategies to improve
financial literacy among Senior High School students.

Statement of the Problem

The main purpose of this study aims to assess the financial management practices od
Senior High School students as the basis for financial literacy program.
Specifically, the study answers to the following questions:
1. What is the demographic profile of senior high school students in terms of:
1.1 age;
1.2 sex;
1.3 track;
1.4 grade level; and
1.5 daily school allowance?
2. How may the financial management practices of senior high school students
be described in terms of:
2.1 savings; and
2.2 spending?
3. Is there a significant difference between the financial management practices of
senior high school students when they are grouped according to profile?
4. What financial literacy program may be developed to enhance the financial
management practices of senior high school students in Tanauan School of
Fisheries?
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Theoretical Framework
According to Berman, Knight & Case, April 2008, money management is a concept
that explains how financial assets are managed. There are three basic financial
management practices that have a great significance – savings, expenditures, and
borrowings. Several academic works indicate that money management skills play an
essential as it influences the spending habits of students on campus. Students enter
colleges without the basic knowledge of money management which arises from
inadequate financial knowledge. This implies that students without money management
skills whose enter colleges may experience financial difficulties while at college.
Moreover, financial intelligence is the gathering of information of financial
management practices, to understand its effect and interpretations, and predict its
behavior and outcomes. It helps in improving decision-making skills and boost control
over finances. It is the ability to know, monitor, and effectively use financial resources to
enhance the well-being and economic security of oneself, one’s family, one’s business.
We need the awareness to know what state we are in so we know where we are going.
Having good financial IQ is not about saving tons of money or dumping them into mutual
funds. It is building a wealth of assets that will generate money. The recognition of the
importance of financial planning means creating and evaluating financial statements for
financial wellbeing. The financial information of an individual is contained in financial
statements. Financial management practices serve as the basis for financial planning,
analysis and decision making. It is needed to predict, compare and evaluate one’s earning
ability. Financial statements give the knowledge that can help in leading and managing
money more effectively. Some entrepreneurs think they don’t need to undergo financial
sector but as they grow in their company, they need to see and understand the information
contained in three basic statements. Managers who are financially intelligent understand
the basics of financial measurement financial intelligence arms managers with accessible,
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jargon-free information to manage their balance sheet and practical strategies for
improving their financial performance. Financial intelligence gives non-financial
managers the financial knowledge and confidence for their everyday work. Financial
intelligence helps IT managers to understand what is happening in their company from a
financial perspective. Financial intelligence shows them how to use the information to
work and manage more effectively. Finance is an integral part of everyone’s life and
financial principles are based on pure and simple common sense. The ability to take
financially intelligent decisions is financial management. It is the ability to understand
the impact of every decision on net worth or economic position and to ensure that all the
actions should be taken to strengthen economic position and do nothing that weakens it.
One of the reasons people lack this financial intelligence is they want money but not the
process. It is the process that makes them rich not the money. Many people fail to
become rich because they don’t value the steady process of becoming financially smarter
and richer. He added,’ Financial intelligence and ultimately financial IQ can help solving
money problems. Financial intelligence is that part of our mental intelligence we use to
solve our financial problems. Financial IQ is the measurement of that intelligence. The
integrity of all five financial intelligences i.e. making more money; protecting that
money; budgeting; leveraging the money; and improving the financial information, is
required if a person wants to grow rich and stay rich. Financial intelligence helps to
understand and use financial information. Learn financial intelligence to earn more. The
key to success is education. The science of getting rich is an exact science like algebra or
arithmetic. There are certain laws which govern the process of acquiring rich; once these
laws are learned and obeyed by a man, he will get rich with mathematical certainty
(Berman, Knight & Case, April, 2008).

Conceptual Framework
The study aims to know the financial management practices of senior high school
students that will be the basis for financial literacy program. The conceptual framework
that is used in this study is the Input-Process-Output Model which is shown in Figure 1.1
Conceptual Paradigm.
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Input Process Output

Financial Literacy
Program

Figure 1.1
Research Paradigm Financial Management Practices
of Senior High School Students

Box 1 contains the respondents’ demographic profile in terms of age, sex, track,
grade level and daily allowance as the input variables.
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The second box encompasses the three financial management practices as survey
instrument for data analysis such as savings and spending. The savings is the amount set
aside for future consumption that may be used in case of emergency. The spending that is
the reduction of daily allowance to satisfy needs. This process would serve as a guide to
know how senior high school students make use of their money.

The third box covers the financial literacy program, to enhance their use of
financial instrument. The researchers would use the results achieved through this process
to give suggestion or recommendation to the research project.

Scope and Limitations of the Study

The study focused on the assessment of financial management practices of senior

high school students in Tanauan School of Fisheries, basis for financial literacy program.
The respondents of the study were the senior high school students from Tanauan School
of Fisheries specifically academic – Accountancy Business and Management section and
Technical Vocational track - Commercial Cooking, Food processing and Bartending
section.

The researcher conducted the study to identify how senior high school students
manage their finances knowing that most of them are coming from an average family.
Students in recent times tend to have an easy access to funds because of their parents, but
have inadequate financial knowledge and as a result have become impulsive buyers. The
issue of personal finance therefore must be given the needed attention as students would
be facing the realities of economic hardships after school. This study will provide the
basic information and knowledge to senior high school students on how to use their
money appropriately. The study will be conducted on second semester of academic year
2019-2020. The results of the study also depend on what the respondents’ answers on the
survey questionnaires that will be distributed to them.

The study is limited only to one hundred twenty (120) senior high school students
from Tanauan School of Fisheries and the researcher will conduct a random sampling to
distribute the questionnaires as the primary data in the study. It is limited on the financial
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management practices such as savings and spending behaviour of senior high school
students. Survey is the method to be used in gathering data through the distribution of
questionnaires to the respondents. The researcher will use different statistical tool to
analysed and interpret data.

Significance of the Study

This study provides significant information through its unbiased presentation of

facts and data that may be beneficial to other business students or researchers who wish
to conduct a similar study.

To Senior High School students, this study may provide them with a clear
picture on how to manage their financial resources and to become financial literate with
regard to financial management practices.

To the parents, this study would serve as additional information to their basic
knowledge with regard to the financial management practices and will provide them
awareness on its proper usage.

To the teachers, this study would widen their understanding and ability to apply
financial concepts in their financial decision making in their everyday lives.

To the academe, this study could serve as additional reference for those business
students from different universities and colleges especially financial management majors
who want to conduct the similar study.

To the researchers, this study would broaden their minds and enhance their
abilities in conducting research study. It will enable them to develop good money
management behaviour as working adults and most significantly the meaningful learning
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through interaction and coordination with senior high school students experienced by the
researchers.

Hypothesis

This research study deals with assessing the Financial Management Practices of
Senior High School students in Tanauan School of Fisheries in terms of savings and
spending.

Ho: There is no significant difference in the assessment of financial management

practices of senior high school students when grouped according to profile variables.

Definition of Terms

For clearer and better understanding of the study the following terms were defined
conceptually and operationally;

Spending. The term refers to a payment in cash or barter credits, or the incurred liability
by an entity, in exchange for goods or services (Valix 2010). In this study, it is the
outflows of income being spent by senior high school students, it is also the cost of
purchasing an item or product mostly referred to their basic needs.

Financial Literacy. The term refers to the ability to learn, analyze and manage your
personal finances in a way that affects a person’s financial well-being (Remund 2010). In
this study this is the state of being aware of senior high school students on their proper
usage of money and how they become knowledgeable in terms of their finances.

Financial Management. The term refers to the operational activity of a business that is
responsible for obtaining and effectively utilizing the funds necessary for efficient
operations (Bhat 2008). In this study, it is how senior high school students make use of
their daily allowances.

SHS Students. The term refers to senior high school students. In this study they are the
respondents of the research who are studying in Tanauan School of Fisheries.
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Savings. The term refers as the variation between net worth at the end of the period and
the net worth at the beginning of the period which should equal the excess of income over
consumption expenditure in the same period (Warneryd 1999). In this study savings is
therefore explained as money or physical assets allocated for future use. It is a very
essential factor responsible for meeting any unforeseen events by senior high school
students.

Chapter II
REVIEW OF RELATED LITERATURE

INTRODUCTION
This chapter does a review on relevant literature from articles, journals, books and
publications on financial literacy among senior high students. This chapter also forms the
theoretical and empirical basis upon which the study is conducted. The chapter therefore
considers the academic theories and the various views expressed by scholars on the topic.

MEANING OF KEY CONCEPTS

This column explains the various academic concepts in literature upon which the
concept of financial literacy is built. Critical areas of interest in finance such as financial
literacy, money management, savings and spending are reviewed to provide detailed
information which forms the basis of the topic. The key concepts however form part of
the theoretical review of the study.

Financial Literacy
The general use of the term “financial literacy” poses a problem to many
researchers because of the different meanings attached to it with different understandings
and interpretations. Various research studies Dopfer [7]; De Beer [6] have shown that the
terminology is considered to be one of the primary obstacles in transcending meaning or
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interpreting the technical term. Dopfer [7] contends that disciplines such as economics
suffer from a language deficit, which is a barrier in both theoretical expression and in
communication of the theory of the particular discipline. It is necessary to distinguish
between the general and specific meaning of the term “financial literacy”. The term
“financial literacy” comprises the words “financial” and “literacy”, both of which are
used to represent a myriad of issues that can easily lose their relevance when used
together. According to Collins Dictionary and Thesaurus (2005), the word “financial”
also relates to the words “economic”, “business”, “commercial”, “monetary”, “fiscal” and
“pecuniary”, each of which has its own meaning. “Literacy”, according to the same
dictionary however, is synonymous with the ability to read and write; education, learning
and knowledge. When these words are combined to form the single term, “financial
literacy”, a whole new dimension emerges, which encompasses more than the individual
terms listed. Widdowson and Hailwood [21] contend that for some, financial literacy is
“a wide-ranging concept, incorporating an understanding of economics and how
household decisions are affected by economic conditions and circumstances” while for
others, it means “focusing quite narrowly on basic money management skills which
include: – budgets, savings, and investment, insurance.
Although the word “literacy” means to be “learned” or “skilled in reading and
writing”, Gouws and Shuttleworth [10], on International Literacy Day in September
2006, Koĩchiro Matsuura, the Director-General of the United Nations Educational,
Scientific and Cultural Organization (UNESCO), alluded to the fact that “literacy is not
merely a cognitive skill of reading, writing and arithmetic, for literacy helps in the
acquisition of learning and life skills that, when strengthened by usage and application
throughout people‟s lives, lead to forms of individual, community and societal
development that are sustainable”. From Matsuura‟s message, one can infer that without
basic literacy and specifically in personal finance, it becomes difficult to ensure a
sustainable livelihood. Financial literacy however, is generally defined as the ability to
make informed decisions and take appropriate actions on matters affecting one‟s
financial wealth and well-being Piprek et al., [17]. Other researchers who have looked at
this area considerably are Garman and Forgue [8]. They define financial literacy as
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knowing the facts and vocabulary necessary to manage one‟s personal finances
successfully. It would therefore seem that literacy alone will not necessarily ensure
sustainability, but that individuals should also be financially literate to be able to create
wealth and promote their well-being. Wealth, according to Beinhocker [1], is the same
thing as information, or rather, fit information – in other words, knowledge. Hence, while
information on its own may be worthless, in this context, knowledge is information that
can be used to create wealth. Education in economic and financial matters, like educating
people to read and write, therefore affects the financial well-being of every individual,
community and the government as a whole Gouws and Shuttleworth [10].
Although the concept has been defined in various contexts in the literature, the
definitions however differ in relation to what the definition seeks to achieve. This
implies that there is no specific definition for financial literacy or there is few generally-
accepted definitions and conceptual framework of personal finance. According to
(Noctor, Stoney, and Stradling; 1992), financial literacy is the ability to make sound
decisions regarding the use and management of money. Thus,effective decisions taken in
relation to the use and control of money (Schagen and Lines 1996). Defining the concept
in this context suggests that the definition is narrowed as emphasis is placed on
management of money.
The concept can also be looked at from a broader perspective as OECD (2005)
defines financial literacy as “the process by which individuals improve their thought
about financial concepts through communication and instruction to make individuals
confident and aware of financial risks and opportunities so as to achieve financial well-
being. Remund (2010) tries to conceptualize the definition of personal financial literacy
into five categories which include; knowledge of financial concepts, ability to
communicate about financial concepts, aptitude in managing personal finances, and skill
in making appropriate financial decisions, and confidence in planning effectively for
future financial needs. This implies that financial literacy goes beyond the effective use
and management of money and considers other important areas in finance.
U.S. Financial Literacy and Education Commission (2007) have also defined
financial literacy as the capacity to apply ideas and skills to effectively manage financial
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resources in order to achieve a long lasting financial soundness. Thus, the ability to
manage individuals‟ finances efficiently so as to make prudent financial decisions in an
attempt to achieve financial well-being (American Institute of Certified Public
Accountants, 2003).The definitions given by the institutions reiterate that financial
literacy makes individuals focused and directs them towards the attainment of financial
autonomy. Garman and Forgue (2000) defined financial literacy as significant
information and terminology required in managing individuals‟ personal finances
successfully. Thus, the basic information that citizens need so as to live in modern society
(Kim, 2001).For the purpose of this study, financial literacy is defined as the combination
of awareness, understanding, knowledge and use of financial concepts to make sound
financial decisions.

Financial Behavior
According to white (1999), financial behavior is defined as the process of how
individuals understand and act on financial knowledge so as to make sound investment
decisions. It then explains how human beings are able to apply financial ideas, concepts
and knowledge in their actions or inactions. Financial behavior therefore is the effects of
financial literacy on the behavior of consumers or people.

Financial Wellbeing and Financial Wellness

Financial well-being is defined as the situation of individuals‟ financial status.
Thus, how financially sound or happy ones‟ financial situation is (Joo and Grable 2003).
Porter (1990) defined financial well-being as apparent conditions of one‟s financial 10
situations. The concept is measured on the basis of one‟s total satisfaction of his or her
financial situation. Financial wellness on the other hand is defined as the actual situation
of individuals‟ financial standing. This is often indicated by a person’s‟ low level of
debt, active savings level and a sound spending plan.

Money Management
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Money management is a concept that explains how financial assets are managed.
Money management encompasses critical areas in finance like investment, budgeting,
banking and taxes. It is therefore a strategy used to ensure that investment assets yield the
highest interest value. Several academic works indicate that money management skills
play an essential role as it influences the spending habits of students on campus. Students
enter colleges without the basic knowledge of money management which arises from
inadequate financial knowledge (Ibrahim et al., 2009). This implies that students without
money management skills whose enter colleges may experience financial difficulties
while at college.

Savings
According to Warneryd (1999), saving is defined as the variation between net
worth at the end of the period and the net worth at the beginning of the period which
should equal the excess of income over consumption expenditure in the same period.
Savings is therefore explained as money or physical assets allocated for future use. It is a
very essential factor responsible for meeting any unforeseen events ensued by
individuals, households or firms. Saving is then meant for meeting unexpected
contingencies and could also serve as a form of investment. Literature suggests the need
to instill the “culture of saving” in children at the early age (Comeau and Rhine 2000).

Savings Behavior
Saving in psychological context is referred to the process of not spending money
for current period in order to be used in future. In other word, saving behaviour is the
combination of perceptions of future needs, a saving decision and a saving action. On the
other hand, people are likely to define saving as investing, putting money in a bank
account, speculating and paying off mortgages (Waynerd, 2009).
Savings behaviour occurs when current income exceeds current consumption and
therefore when total resources increase. Not saving is the opposite of saving. Saving
leads to asset accumulation as long as saving is greater than not saving. People might
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simply make deposits immediately after receiving income, before making any other
purchase or payment (Cho, 2009).
Saving behaviour is the money keeping activity after they use it for their own. Saving
money during college should be a priority. However, an individual may want to look it as
a little different as those who are out in the real world. It does not make sense to invest a
lot of money if a person is going to be in debt just to pay for education. First, save for
your tuition each semester or quarter. One may be working primarily a summer job or
just a part time job. And this can make a really big difference in the amount be may end
up borrowing. People should definitely have a contingency fund saved as well. (Caldwell,
2012).
Denton, 2011 defined savings behaviour as understanding how people save in order
to realize the economic condition of the country. He said that if people save more, the
levels of their personal disposable income is increasing as well. He added that savings
behaviour refers to the money keeping activity after people use it for their own health.
Futhermore, Congvist and Sidget (2010) stated that individual saving behaviour is
governed by both innate genetic predispositions, social transmission of behaviour from
parents to their children and environment interplay where the environment moderate
genetic influences.

Spending
Spending in of their earnings is one of the most common problems faced by young
adults today. The youth are following the “I want” philosophy, that is, they are more
interested in accumulating material possessions than saving money, and this leads to the
domino effect of making impulsive purchasing decisions resulting in overspending and
shortage of money. It is important that the youth should always be aware of the balance
in their bank accounts before going on spending spree. It is understood that they are not
used to the balance checking with their savings account; as they have the privilege of
using multiple credit cards (Pillai et al, 2010).

IMPORTANCE OF FINANCIAL LITERACY

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Financial literacy equips people with requisite information and ideals needed to
make sound decisions with accuracy to manage financial resources and to improve
financial capability to call for better financial services (Ali, 2013). The concept then
enables people to be prudent in all financial engagements. A persons ‟level of education
does not necessarily correspond with how individuals understand and apply the concept
in their human endeavors. It is therefore prudent for all and sundry to pay attention to
personal finance literacy since an in-depth knowledge in financial literacy tends to have a
direct impact on the management of the economy (World Bank, 2009). Financial
education is one of the most concerned issues confronted by many economies since
financial decisions have become very difficult to make or challenging. The proliferation
of financial products available on the market then urges consumers to make informed
choices in order to achieve a maximum satisfaction.
This calls for consumers to be more financially literate in order to improve
decision making. Financial literacy and its education then become imperative since
consumers are faced with intriguing financial decisions or complicated products. In
general, learning financial literacy earlier in life could lead to essential benefits in the
long run as it enables individuals to withstand any financial distress that would be
encountered.
Studies have shown that inadequate financial literacy can lead to marital distress
which may increase the chance of people losing their marriage. Couple‟s financial
discipline then plays a vital role in the survival of their relationship. Thus, the ability to
live within planned budget, reduce debt and increase savings helps to promote marital
happiness (Kerkmann et al., 2000). This shows that financial literacy issues transcend
across marital relationships and for that matter, couples need to be abreast of financial
literacy in order to sustain their marriage.
An in-depth knowledge in personal finance helps individuals as well as the
communities to improve their decision-making capacity. According to Bruine de bruin et
al. (2010), people who are not inclined in financial literacy tend to have higher
anticipation for inflation which consequently affects their whole being since inadequate
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personal finance knowledge will limit a person’s ability to make well versed financial
decisions and eventually engaged in impulse buying.

DETERMINANTS OF FINANCIAL LITERACY

Financial literacy is alarmingly affected by demographic characteristics such as
age, education level, gender, parents, peers etc. several academic works have been
conducted across countries to confirm it. Literature has shown that there is a direct
correlation between a person’s age and his or her personal finance understanding. The
personal finance understanding of children and the youth tend to be low compared to the
old age. The acquisition of financial literacy therefore tends to increase with age 13 and
experience. Hogarth and Hilgert (2002) reveals that students within the ages 18 – 24
years are those that are financially least knowledgeable whilst those within the ages 36 –
40 years are more likely to budget their expenditure. Several empirical studies on
financial literacy reveal that there is financial literacy gap between women and men as
men tend to be equipped with knowledge, information, instruction and ability to apply
ideas and concepts relating to finance more than women. It has been generally established
that females display much lower knowledge and use of financial literacy than the males
due to several reasons. Among the reasons include the fact that women have limited
access to capital compared to men and also risk averse during investment decisions. From
the literature, men tend to perform creditably well in most personal finance quizzes
compared to the women. This consequently urges men to take more financial risk which
puts them in higher debt accumulation in relation to women (Davies and Lea, 1995). Men
have the perception that having enough money will make them well respected in the
society. A person’s education level has consistently found to have a direct effect on
person finance. The level of education tends to have a positive relationship with personal
finance. However, there is a contraction as many university graduates have proven to
have inadequate personal finance (Van Rooiji, Lusardi and Alessie, 2007). This implies
that having the University education does not necessarily mean that one has high
financial autonomy. Individuals who are illiterate have proven not to appreciate the basic
financial concepts such as risk diversification (Lusardi and Mitchell 2006).
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Chapter III
METHODOLOGY

Introduction
This chapter explains the approach used to answer the research questions so as to
meet the research objectives. This chapter then makes emphasis on the research design,
population of the study, size of the sample, data collection, validity and reliability of the
research.

Research Design
The research design employed for this study will enable the researcher to find out
the students understanding of personal finance using the personal characteristic of sex,
age and daily allowances. Secondly, the research design enables the researcher to
examine how the students’ level of personal finance affects their opinions and decisions.
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This study therefore uses descriptive method as it enables the researchers to find out how
students understand and apply personal finance. The research design for this study will
use 10 explanatory statements as the researchers try to establish the relationship between
certain demographic factors such age, sex, track, grade level, and daily school allowance.
Descriptive design is normally used when the researcher wants to establish a causal
relationship between variables. The research strategy employed for this study is the
survey strategy which allows an efficient way to gather the needed information from the
population of the study. Survey strategy is usually used for exploratory and explanatory
research as it establishes reasons for relationships between variables. Survey strategy uses
questionnaire in collecting the data and also allows the researcher to analyse the data
quantitatively using descriptive and inferential statistics. This study then uses the
quantitative approach in analysing the data. Quantitative approach is used for data
collection technique that uses numerical data. It therefore employs questionnaire, graphs
or statistics in its analysis.

POPULATION AND RESPONDENTS

For the purpose of this study, the institutional population consists of all Senior
High School students in Tanauan School of Fisheries. The total numbers of Senior High
School in Tanauan School of Fisheries are one hundred twenty (120) with the total
population of 173 students.

Research Procedure
As suggested by many researchers, sampling is a vital component of any research.
Sampling techniques refer to mechanisms employed in research to lessen the data
required for the study by considering some of the relevant data from the entire population
It is very difficult and impossible to use the general population for any research, this is
due to the fact that researchers would find it difficult in getting access to the entire target
population as a result of time constraints and the cost involved. It is therefore prudent for
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the researchers to use sample size for research especially in the case where the population
size is too large.
For the purpose of this study, the respondents are all Senior High School students
in Tanauan School of Fisheries. The sample size of the study is 120 students which are
selected from the school using Slovins formula. A non-probability sampling technique
will be employed in this research where the samples are gathered in a process that does
not give all the individuals in the population equal chances of being selected. This
technique allow researcher to answer research questions and to achieve research
objectives by making statistical inference from the features of the population studied.
Stratified sampling is the probability sampling technique wherein the researcher divides
the entire population into different subgroups or strata, then randomly selects the final
subjects proportionally from the different strata. The students were selected based on
their program/track studied. These strategies enable the researchers to solicit views from
all categories of students. One hundred twenty (120) questionnaires were given to which
form the total sample size of 120 students/respondents.

DATA GATHERING
For the purpose of this study, a field research is conducted to collect data from the
chosen senior high school students through the use of questionnaires. Questionnaire
refers to the data collection instruction in which respondents are allowed to answer the
same set of questions in a prearranged manner (deVaus 2002). The questionnaire for this
study is designed to cover major aspects of personal finance; first part was the
demographic characteristics such as age, sex, track, grade level, and daily allowances and
the second part denoted the financial management practices of the students in terms
savings and spending. The respondents were asked to answer 10 questions which covered
five questions each on financial opinions and decisions on savings and spending and five
questions about demographic profile. The second part of the questions was assessed
using “likert” scale. Questionnaire is usually used in survey strategy as it provides an
 BATANGAS STATE UNIVERSITY
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Graduate School
efficient means of gathering large data or responses from the chosen sample frame and
therefore appropriate for descriptive or explanatory research as it enables the researcher
to identify and describe variables in different contexts or enables the researcher to
investigate and establish the relationships between variables. Questionnaire for this study
is made up of statements which let the respondents answer by choosing from Strongly
Agree (SA), Moderately Agree (MA), Agree (A), and Disagree (D) and thus make it easy
to handle and analyse. Utmost confidentiality was ensured and the respondents were
assured that the data that could be gathered are strictly for academic purposes. Below is
the illustration how financial management practices are being measured.

Legend:
Level of Financial Management Practices
Range Option Verbal Interpretation
3.50-4.00 4 Strongly Agree (SA)
2.50-3.49 3 Moderately Agree (MA)
1.50-2.49 2 Agree (A)
1.00-1.49 1 Disagree (D)

STATISTICAL TREATMENT OF DATA

Data analysis is seen as the most demanding and fascinating component of
research. Data analysis refers to the process of deriving a useful meaning from the field
work. Data analysis can be done quantitatively or qualitatively, the researchers adopted
quantitative method. Quantitative data analysis is when statistical approach is used in
deriving useful meaning from the data collected. This implies that quantitative data in its
raw form produce little meaning unless they are processed and analysed. The quantitative
analysis techniques used in this survey help to find out, present, describe and establish
relationships between the variables in order to produce information.