Research Paper Group 1

NAVOTAS POLYTECHNIC COLLEGE
THE IMPORTANCE OF FINANCIAL LITERACY ON
BSBA FINANCIAL MANAGEMENT
STUDENTS IN NAVOTAS POLYTECHNIC COLLEGE
A Business Research Paper

Presented to the Faculty of the Navotas Polytechnic College
Bangus St. Phase 1, Brgy. NBBS-Kaunlaran, Navotas City
In Partial Fulfillment of the Requirements for the Subject,

Business Research
by
GROUP 1
January 2024
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ABSTRACT
Title: THE IMPORTANCE OF FINANCIAL LITERACY ON BSBA FINANCIAL

MANAGEMENTSTUDENTS IN NAVOTAS POLYTECHNIC COLLEGE
Researchers : Aguillon, Zaimond G.
Bitagara, April V.
Castro, Cherrylyn D.
Deogrades, Arian
Endraca, Jhovelyn C.
Jorge, Rachelle P.
Obias, Ren Mark C.
Degree : Bachelor of Science in Business Administration,

Major in Financial Management
Institution : Navotas Polytechnic College
Year : 2024
Adviser : Prof. Marian Ruiz
CHAPTER 1
THE PROBLEM AND ITS BACKGROUND
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INTRODUCTION
Financial literacy is an essential life skill that every individual should possess.
However, many students graduate from high school without a basic understanding of
personal finance. To address this issue, the introduction of financial seminars for
students is crucial.
Individuals in their early 20's shall be aware of how to handle their finances as
they go on to adulthood, specifically the students taking Bachelor of Science in
Business Administration Major in Financial Management in Navotas Polytechnic
College. This research would aim to measure the financial literacy of the said population
to determine their financial literacy on this date and age.
The vast majority of young people in their beginnings as university students have
begun to manage their own money in one way or another (Bidwell, 2015), either
receiving financial aid funds, such as the Pell Grant, through student loans, through
their work or even through the use of credit cards. Regardless of where the main source
of income comes from to pay for tuition, lodging, and other expenses associated with
their university studies, it is important to question whether students adequately manage
their money and if in fact whether they have some kind of knowledge in basic aspects of
finance.
Financial seminars can be highly effective in empowering Filipinos with the
knowledge and skills necessary to manage their finances wisely. These seminars
provide valuable information on topics such as budgeting, saving, investing, and debt
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management. By attending these seminars, individuals can learn how to make informed
financial decisions, set realistic financial goals, and develop healthy money habits.
Furthermore, financial seminars can also foster a sense of financial responsibility and
encourage individuals to take control of their financial future.
Furthermore, financial seminars can empower students to become financially
independent individuals. They learn about different career paths and how their earning
potential can impact their long-term financial stability. By understanding concepts like
taxes and insurance, they are better prepared to navigate the complexities of adulthood.
CONCEPTUAL FRAMEWORK
The research paradigm for this study, which aims to assess the knowledge about
The importance of financial literacy on BSBA Financial Management students in
Navotas Polytechnic College, can be conceptualized using an Input-Process-Output
model. This model provides a framework for understanding the flow of activities and
variables involved in the research process. The research paradigm can be described as
follows:
INPUT: The input phase of the research paradigm involves the identification and
selection of key variables and factors relevant to the study. These inputs include the
demographic profile of the financial management students, the financial literacy of the
students by their spending habits, saving habits, and financial knowledge. Additionally,
the research instruments used to collect data, such as questionnaires or surveys, are
considered as inputs.
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PROCESS: The process phase of the research paradigm encompasses the activities
undertaken to collect, analyze, and interpret the data. This phase includes administering
the research instruments to the financial management students, gathering their
responses, and performing statistical analyses on the collected data. The data analysis
may involve techniques such as descriptive statistics, factor analysis, and correlation
analysis to explore relationships between variables and draw meaningful conclusions.
OUTPUT: The output phase of the research paradigm involves the findings and
outcomes of the study. These outputs include the results and discussions presented in
the research report or thesis. The outputs provide insights into the importance of
financial literacy on BSBA Financial Management students in Navotas Polytechnic
College. The outputs also contribute to the existing body of knowledge in the field and
can inform future research or interventions in the domain of the financial knowledge of
the students.
STATEMENT OF THE PROBLEM
This study aims to know the Importance of Financial Literacy.
Specifically, this study will answer the following questions:
1. Demographic profile of the respondent in terms of:
a. age
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b. sex
c. grade level
d. Family Monthly Income
2. What is the level of financial literacy of the BSBA Financial Management as a
whole and in the following areas:
a. Spending Habits
b. Saving Habits
c. Financial Knowledge
3. What recommendations can be drawn based on the result of the study?
SIGNIFICANCE OF THE STUDY
The study of financial literacy is of utmost importance for financial management
students. It equips them with the necessary knowledge and skills to make informed
decisions regarding their personal finances and investments. Understanding concepts
like spending, saving, and investing allows these students to navigate the complex
world of finance confidently. Moreover, financial literacy empowers individuals to plan
for their future, manage debt effectively, and achieve long-term financial stability. The
result could be significant and beneficial to the following:
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Individuals. The students gain knowledge and skills to manage their personal finances
effectively. This includes budgeting, saving, investing, and making informed decisions
about credit and debt.
Businesses. Employees with a good understanding of financial literacy are likely to be
more focused and productive, as they can better manage personal financial stress and
distractions.
Governments and Society. Financially literate individuals contribute to a more stable
economy as they make informed decisions about spending, saving, and investing,
which collectively affects the overall economic health.
Financial Institutions. Financially literate clients are better equipped to understand and
manage financial risks, reducing the likelihood of defaults and financial crises.
Educational Institutions. Schools and universities play a crucial role in imparting
financial literacy skills, helping students develop the knowledge needed for effective
financial management in their personal and professional lives.
SCOPE AND LIMITATIONS OF THE STUDY
This research focuses on the level of financial literacy of Bachelor of Science in
Business Administration Major in Financial Management students at Navotas
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Polytechnic College to analyze and develop money management efficiently and also
identify what factors affect the level of financial literacy. The gathering of related studies
to be cited and used as support for this research will be taken from books, journals,
magazines, and in the form of websites in other words taken online.
This study is only limited to BSBA Financial Management students from Navotas
Polytechnic College. It will not involve anyone from any college department. To collect
data for this research, the researchers will conduct an online survey using Google
Forms. This method is chosen for its convenience and accessibility to both the
researchers and the respondents.
The study takes around three months to accomplish, from October 2023 to
January 2024. The limitation of this study is the fact that the student researchers can in
no way assure that the participants have responded to the survey with 100% honesty,
despite it being encouraged.
DEFINITION OF TERMS
These are the terms and definitions that the researchers used throughout the
study. These were defined operationally and conceptually so that the students or
researchers would be enlightened on how these words are used and associated.
Behavior - the way in which one acts or conducts oneself, especially toward others.
Comprehension - the action or capability of understanding something.
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Compulsive- resulting from or relating to an irresistible urge, especially one that is
against one's conscious wishes.
Exhibit - publicly display (a work of art or item of interest) in an art gallery or museum or
at a trade fair.
Financial - the finances or financial situation of an organization or individual.
Furthermore - in addition; besides (used to introduce a fresh consideration in an
argument).
Literacy - acquisition often brings with it positive change in relation to harmful traditional
practices, forms of marginalization and deprivation.
Millennials - denoting or relating to a period of a thousand years.
Spending habits - people often forget that they are just that: spending habits. An
acquired behavior pattern; that is followed regularly.
Wealthy - having a great deal of money, resources, or assets; rich.
CHAPTER 2
REVIEW OF RELATED LITERATURE AND STUDIES
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This chapter elaborates on all the gathered related literature and studies, which are both
local and international in nature; different perspectives of diverse authors are critically
tackled according to relatedness to the study.
Financial Literacy
This research would aim to measure the financial literacy of the said population
to determine their financial literacy on this date and age. Teenage individual spending
patterns and lack of comprehension of money management reinforce practices that can
eventually result in significant budget problems, either now or in the future (Bona, 2017).
Multiple variables, including routines, development, way of life, economic status,
and many more, impact how kids spend their money. But when it comes to financial
budgeting, many people struggle miserably, with the majority of American teenagers
having savings accounts with less than $1,000 (Elkins, 2017).
In the United States, teens spend roughly forty percent of their money on
apparel, accessories, and shoes, while another 25% is spent on food, according to
Piper Jaffray's latest biannual Taking Account with Teens Survey from 2017. Based on
a 2017 Charles Schwab questionnaire, millennials spend more than previous
generations on convenience and comfort. Furthermore, a recent survey showed that 2
performed throughout Europe, indicating that the substances used for hygiene and
beauty were the ones that clearly affected expenditure when compared by age groups
(Peachey, 2018).
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Based on recent studies, 5% of adults in wealthy nations experience compulsive
buying behavior (Schofield, 2018). About 6% of American adults are thought to exhibit
compulsive buying behavior during the course of their lifetimes due to the illness, with
women accounting for up to 80% of compulsive shoppers (Heshmat, 2018). Compulsive
shopping has led to students in the Philippines having the newest technology yet falling
behind on their tuition payments (Rios, 2017).
Compulsive making purchases, a different term for obsessive spending activity,
is an addiction that activates brain pleasure receptors related to drugs (Kagan, 2018).
According to recent research, individuals may even be delighted when they spend
money on themselves (Nield, 2017).
The most acceptable kind of addiction is passionate shopping, which, like other
behavioral disorders, may become a full-blown obsession that conflicts with other
aspects of your life. The most common and universal means of trade for obtaining the
essentials of life is money. As of Kenton (2018).
Chapter 3
RESEARCH METHODOLOGIES
This chapter contains a detailed discussion of the methods of research,
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population, sample size, sampling techniques, description of the respondents, research
instrument, data gathering procedure, and statistical treatment of data to assess the
topic at hand, including the process obtaining the samples and statistical treatment of
the data gathered done and used to identify, select, process, and analyze information
about the topic.
Method of Research
The design of this study is descriptive research which aims to record, describe,
analyze, interpret, and compare the facts, data, and information gathered through a
survey about the financial literacy of the students in terms of the statements they will be
given. The quantitative research method was utilized, wherein quantifiable information
was collected to be used for statistical analysis of the responses of the sample
respondents. It will be used to investigate the background of a research problem and
get the required information needed to carry out further research.
Since the study will use a survey as a data-gathering instrument, descriptive
research is the appropriate design to be used to define subject characteristics, measure
data trends, and compare how different demographics respond to certain variables. It is
an appropriate choice since this research aims to identify characteristics, frequencies,
trends, and categories. According to Mccombes (2019), survey research allows the
gathering of large volumes of data that can be analyzed for frequencies, averages, and
patterns.
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Netura (2018) defined descriptive research as a design that involves the
gathering of numerical information that can be organized along a continuum in
numerical forms, such as Likert-scale type of questions. This research design defined
information categories such as demographic profiles and interaction and response
outlines. Descriptive research entails gathering data describing measures or
procedures, and organizing, tabulating, representing, and defining the data. More
specifically, descriptive research is a type of data collection that involves testing a
hypothesis or answering inquiries about the status of the study's subject. The current
state of affairs was determined and reported in descriptive research.
Population, Sample Size, and Sampling Technique
The population for this research study consists of financial management students
enrolled at Navotas Polytechnic College, with a total amount of 685 1,161. These
students are pursuing a financial management-related course at the college. However,
for the sample respondents, only 14% of the population proportion of financial
management students were chosen. This means only 99 students served as study
respondents for a 95 percent level of significance, a 13% margin of error. They are
chosen as respondents since the nature of the study, or the phenomenon being studied,
requires the knowledge of students at Navotas Polytechnic College.
Convenience sampling is the chosen sampling technique for this study.
Convenience sampling involves selecting participants based on their accessibility and
willingness to participate. In this case, the researchers may select the sample by
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approaching financial management students who are available and willing to participate
in the study. This method is chosen for its practicality and ease of data collection, as it
allows the researchers to conveniently gather data from individuals who are readily
accessible on the college campus. Below is the formula used for the sample size:
n = (z^2 * p * (1 - p)) / e^2
Whereas:
N = total population size
z = corresponding to a 95% confidence level
e = margin of error as a decimal
p = estimated population proportion
Description of Respondents
The respondents for this research study are financial management students
enrolled at Navotas Polytechnic College, comprising a total of 99 students. They fall
within the age bracket of eighteen years old to twenty-five years old and above. This
age range is chosen as it represents the target demographic of young adults which we
measure their financial literacy and lifestyle.
Research Instrument
The research instrument used in this study is a survey questionnaire. The
questionnaire consists of items that are designed to measure their financial literacy as
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assessed by financial management students at Navotas Polytechnic College.
Before finalizing the questionnaire, a draft version was initially created. This draft
was then submitted to the research adviser for feedback and suggestions. The adviser's
input helped refine the questionnaire and address any potential issues or
improvements.
To ensure the questionnaire's relevance and appropriateness, it was further
validated by seeking input from a financial management professional who has expertise
in the field. His insights and corrections were taken into consideration, and necessary
revisions were made to enhance the questionnaire's ability to collect the required data
accurately.
After incorporating the necessary changes, a final draft of the questionnaire was
prepared. This version of the questionnaire reflects the adjustments and improvements
based on the feedback received during the validation process. The final questionnaire is
considered reliable and suitable for gathering the data needed to assess the financial
literacy from the perspective of financial management students at Navotas Polytechnic
College.
By utilizing a survey questionnaire with a Likert scale, the researchers can obtain
quantitative data that can be analyzed to gain insights into the financial management
students' perceptions and evaluations their financial literacy.
Each item in the survey questionnaire is measured on a Likert scale, which is a
standard rating scale used in social science research. The Likert scale provides a
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continuum of response options, typically ranging from 1 to 4, where respondents can
indicate their level of agreement, satisfaction, or perception regarding specific aspects
of the service quality. The weighted means were interpreted based on Likert’s scale
concept of the boundary of numerals:
WEIGHT VERBAL INTERPRETATION
4 - Strongly Agree / Always
3 - Agree / Sometimes
2 - Disagree / Often
1 - Strongly Disagree / Never
The survey consisted of two sections. The first section was intended to elicit the
demographic profile of the respondents as to their age, sex, civil status, college level,
monthly allowance from—the second section aimed to evaluate financial literacy as a
student. Respondents were presented with a series of statements related to various
habits connected to their knowledge and lifestyles. They were instructed to put a
checkmark (✔️
) in the box corresponding to their answer by rating each statement on a
Likert scale. The scale ranged from "1 - Strongly Disagree" to "4 - Strongly Agree." This
information will contribute to identifying areas that show how much the students have
knowledge on their financial stuff.. This information will contribute to collecting data
measuring their financial literacy.
Data Gathering Procedure
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The data for this research study was collected through an online survey
questionnaire using Google Forms, which allowed for easy distribution and collection of
responses. The survey link was shared with the financial management students via
Messenger. Respondents were given a specific deadline to complete the survey. The
gathered data from the online survey questionnaire was automatically collected and
stored in a digital format. This facilitated data management and analysis, as the
responses could be easily exported and processed for further statistical analysis. The
utilization of an online survey questionnaire using Google Forms provided a convenient
and efficient data-gathering procedure for this research study. It enabled the
researchers to collect responses from a more significant number of participants,
ensuring a diverse and representative sample of financial management students at
Navotas Polytechnic College. The data collected from the online survey questionnaire
will undergo statistical and quantitative analysis to derive meaningful insights and draw
conclusions regarding the financial literacy as assessed by financial management
students at Navotas Polytechnic College. The analysis aims to provide a systematic
examination of the data, enabling a comprehensive understanding of the research
objectives.
Statistical and Quantitative Analysis
Descriptive statistics will be employed to summarize and describe the
characteristics and patterns present in the data. This includes calculating measures
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such as means, medians, standard deviations, frequencies, and percentages.
Descriptive statistics will provide an overview of the respondents' demographic profiles,
their ratings of their financial knowledge and lifestyle.
Statistical Treatment of Data
The statistical treatment of data consists of:
A. Percentage
%=f / N * 100
Whereas:
% = percentage
f = frequency of responses
N = total number of respondents
B. Weighted Mean: Average
x = A+B+C+D/N
Whereas:
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x = Mean
N = Total Number of Respondents
A = Strongly Agree
B = Agree
C = Disagree
D = Strongly Disagree
The following scale was used in quantifying the descriptive response in the survey
questionnaires:
Scale Weight Verbal Interpretation
A/4 Strongly Agree / Always
B/3 Agree / Often
C/2 Strongly Disagree / Sometimes
D/1 Disagree / Never
Chapter 4
RESULTS AND DISCUSSION
In this chapter, the results of the survey conducted to assess the financial literacy
of BSBA Major in financial management students at Navotas Polytechnic College are
presented and discussed. The survey consisted of two sections, which aimed to gather
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information about the respondents' demographic profile, evaluate the financial literacy,
and identify common problems encountered while using these applications.
This chapter will provide a detailed account of the survey results, offering
valuable insights into the perceptions and experiences of financial management
students regarding financial literacy. The findings will contribute to the existing body of
knowledge in the field and serve as a foundation for further research and improvement
in financial literacy.
Part I. Profile of the Respondents
The first section of the survey focused on gathering the demographic profile of
the respondents. This included information such as their year level, age, gender, civil
status, and monthly income allowance. These demographic variables were collected to
understand the characteristics of the respondents and to ensure a diverse
representation of the target population.
Table 1.1
Frequency and Percentage Distribution of the Respondents In terms of Age
Age Frequency Percentage
18 below 0 0%
19-22 85 85.90 %
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22-25 13 13.10%
25 above 1 1%
Total 99 100 %
Table 1.1 presents the frequency and percentage distribution of the respondents in
terms of age. The majority of respondents, 85 or 85.9%, are between the ages of 19-22,
while 13, or 13.1% are between the ages of 22-25, while 1 or 1% are between the ages
of 25 above, while 0 or 0% are between the ages of 18 below. It may be assumed that
the majority of respondents are between the ages of 19-22.
Table 1.2
Frequency and Percentage Distribution of the Respondents In terms of Gender
Gender Frequency Percentage
Male 29 29.30 %
Female 70 70.70 %
Total 99 100%
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terms of gender. Female respondents account for 70 respondents (70.7%), whereas
male respondents account for 29 or 29.3% As a result, the respondents are
predominantly female
Table 1.3
Frequency and Percentage Distribution of the Respondents In terms of Civil
Status
Civil status Frequency Percentage
Single 96 97%
married 2 2%
Widow/widower 0 0%
Legally/separated 1 1%
Total 99 100%
terms of civil status. Most of the respondents are single , which has 96 respondents
(97%) , while married has 2 respondents (2%), whereas legally/separated has 1

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respondent (1%), and widow/widower 0 respondent (0%) As a result, the respondents
are predominantly single
Table 1.4 college year level
Frequency and Percentage Distribution of the Respondents In terms of Year Level
Civil status Frequency Percentage
2nd year 60 60.60%
3rd year 22 22.20%
4th year 17 17.20%
Total 99 100%
terms of year level. The majority of respondents, 60 or 60.6%, are from 2nd year, while
22 or 22.2% are from the 3rd year, while 17 or 17.2% are from 4th year. It may be
assumed that most respondents are from the 2nd year.
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Table 1.5
Frequency and Percentage Distribution of the Respondents In terms of Monthly
Income Allowance From
Monthly income
Frequency Percentage
allowance from
Parents 69 61.60%
Part-time jobs 25 22.30%
Scholarship 10 8.90%
others 8 7.10%
Total 99 100%
terms of monthly income allowance from. Most of the respondents are getting their
allowance from parents, which has 69 respondents (69.7%), part-time jobs has 25
respondents (25.3%), whereas scholarship has 10 respondents (10.1%), and others
have 8 respondents (8%). As a result, the respondents are predominantly parents.
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Part II. Financial literacy on BSBA financial management students in NPC
The second section of the survey aimed to evaluate the factors of financial
literacy. This section included a set of statements designed to measure various
dimensions of financial literacy, such as strongly agree/always, agree/sometimes,
disagree/often, and strongly disagree/never.
Table 2
Percentage Distribution and Weighted-Mean of the Example Situations.
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Weighted Verbal
Factors Rank
mean Interpretation
2.1 Spending habits
2.53 1 Agree
I make impulsive purchases.
2.67 1 Agree
I spend my allowance when I'm craving something .
1.72 3 Agree
I borrow some money to buy stuff.
2.19 2 Agree
I spend my money whenever there is a sale.
2.13 3 Agree
I buy everything I see interesting.
1.78 3 Agree
I buy things even when not needed.
Graduated Mean 1.75 agree
2.2 Saving habits
3.11 1 Agree
I save regularly.
3.33 2 Agree
I budget my expenses.
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3.56 2 Agree
I compare prices before buying.
3.25 2 Agree
I set aside some money for emergency funds
3.26 2 Agree
I never overspend beyond my budget
Agree
Graduated Mean 3.30
2.3 Financial knowledge
2.53 1 Agree
Money is for spending, not for holding on to.
3.74 2 Agree
Financial seminars are important.
2.90 1 Agree
I follow economic news and trends.
Agree
Graduated Mean 3.05
Agree
Overall Graduated Mean 2.70
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Chapter 5
Summary of Findings, Conclusions, and Recommendation
This chapter includes the summary of findings analyzed by researchers. The
conclusions are based on the summary of findings and recommendations
developed throughout the data presentation.
Summary of Findings
Based on the data gathered, the following findings were drawn:
1. Profile of Respondents
1.1 As to age, the majority of students responded are 19-22 years old, which
consists of 85 out of 99 respondents equivalent to 85.90%.
1.2 As to Gender, Most of the respondents were Female comprising 70 respondents
or 70.70%.
1.3 As to civil status, Most of the respondents were single and consisted of 96
respondents, equivalent to 97%.
1.4 As to year level, most of the respondents were 2nd year students, composed of
60 students which is equivalent to 60.6%
1.5 As to source of income, most of the respondents get their income from their
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allowances or their parents, consist of 69 students, equivalent to 61.6%
2. Spending Habits of the Respondents
2.1 According to the first survey statement, “I make impulsive purchases”, 12 out of
99 respondents or 12.12% strongly agreed, 41 or 41.41% answered “always”, 33 or
33.33% answered “sometimes”, and 13 or 13.13% disagreed.
2.2 According to the second survey statement, “I spend my allowance when I’m
craving something”, 14 or 14.14% of respondents strongly agreed, 50.50% said
they do it always, 23 or 23.23% said they do it sometimes, and 12 or 12.12%
disagreed.
2.3 According to the third survey statement, “I borrow money to buy stuff”, 5 out of
99 respondents or 5.05% strongly agreed, 12 or 12.12% answered “always”, 32 or
32.32% answered “sometimes”, and 50 or 50.50% disagreed.
2.4 According to the fourth survey statement, “I spend my money whenever there is
sale”, 6 or 6.06% of respondents strongly agreed, 27 or 27.27% said they do it
always, 46 or 46.46% said they do it sometimes, and 20 or 20.20% disagreed.
2.5 According to the third survey statement, “I buy everything I see interesting”, 10
out of 99 respondents or 10.10% strongly agreed, 27 or 27.27% answered “always”,
28 or 28.28% answered “sometimes”, and 34 or 34.34% disagreed.
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2.6 According to the fourth survey statement, “I buy things even when not needed”,
4 or 4.04% of respondents strongly agreed, 16 or 16.16% said they do it always, 33
or 33.33% said they do it sometimes, and 46 or 46.46% disagreed.
3. Saving Habits of the Respondents
3.1 According to the first survey statement regarding the saving habits of the respondents, “I save
regularly” 33 out of 99 equivalent to 33.33% strongly agreed, 46 or 46.46% said they always do
that, 18 or 18.18% said they only do it sometimes, and 2 or 2.02% disagreed.
3.2 At the second survey statement,”I budget my expenses” 47 out of 99 or 47.47% strongly
agreed, 39 respondents or 39.39% said “always”, 12 or 12.12% said “sometimes”, and 1 or
1.01% disagreed.
3.4 According to the third survey statement regarding the saving habits of the respondents, “I
compare prices before buying”, 63 out of 99 equivalent to 63.63% strongly agreed, 30 or 30.30%
said they always do that, 4 or 4.04% said they only do it sometimes, and 2 or 2.02% disagreed.
3.5 At the second survey statement,”I set aside some money for emergency funds” 50 out of 99
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or 50.50% strongly agreed, 29 respondents o r29.29% said “always”, 16 or 16.16% said
“sometimes”, and 4 or 4.04% disagreed.
4. Financial Knowledge of the Respondents
4.1 The survey asked the opinion of the respondents regarding the statement “Money is for
spending not for holding on to”, 18 out of 99 or 18.18% strongly agreed, 36 or 36.36% said
“always”, 25 or 25.25% said “sometimes, and 20 or 20.20% disagreed.
4.2 The survey asked the respondents’ opinion by the statement “Financial seminars are
important. 78 out of 99 or 78.78% respondents strongly agreed, 18 or 18.18% said “always”, 1 out
of 99 or 1.01% said “sometimes”, and 2 out of 99 or 2.02% disagreed.
4.3 They survey asked each trait of the respondents regarding economic news and trends by the
statement, “I follow economic news and trends”, 18 out of 99 or 18.18% of the respondents
strongly agreed, 53 or 53.53% of the respondents said they do it always, 28 or 28.28%
responded “sometimes”, and none disagreed.
Conclusions
1. The majority of responses are from second-year college students. The majority of
responses are female and between the ages of 19-22 years old. Most of them
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are single and have their parents as the source of income for their
allowances.
2. Based on the assessment of the respondents’ answer on their spending habits,
they are most likely to spend their money on food than other objects, sales or
interesting things, as per Spending Habit Survey Statement number 2 which
has the highest percentage of respondents who strongly agreed which
accumulated 14.14%, and highest answered “always” 50.50%.
3. The respondents are most unlikely to borrow money to buy stuff as per survey
statement number 3 of their spending habits, has the highest percentage of
50.50% disagree.
4. Based on the survey regarding the Spending Habits of the respondents, they
prioritize saving, budgeting, and controlling rather than overspending. 5 out of
5 saving habits survey statements were answered strongly agree 48.4%, and
35% said they do it always.
5. Based on the survey regarding Financial Knowledge, most of the respondents
find the Financial Seminars important, 78.78% strongly agreed, and 18.18%
answered “always”.
6. Observing the answers of the respondents if they follow the economic news and
trends, the majority have awareness about the economy because 18.18%
strongly agreed that they follow, and 53.53% said they always follow.
It therefore concludes that the majority of the students taking Bachelor of
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Science in Business Administration Major in Financial Management in
Navotas Polytechnic College are beginning to manage their finances in their
early 20’s, yearning to comprehend how to manage their finances.
RECOMMENDATIONS
The findings of this study revealed that the students taking Bachelor of Science in
Business Administration Major in Financial Management in Navotas Polytechnic
College are starting to have concern on managing their finances, further seeking
financial literacy.
Thus, the following recommendations are hereby presented:
Based on the findings, here are some recommendations:
1. Foster Financially-Smart individuals: Given that the students taking Business
Administration Major in Financial Management in Navotas Polytechnic College
are beginning to manage their finances, it is the right time and age to undergo
financial seminars so their concern would be supplemented by right
knowledge and intelligent techniques to be financially-smart individuals.
Furthermore, financial literacy enables people to make long-term financial
plans, efficiently manage debt, and attain financial stability.
2. Establish Financially Responsible Character: Majority of College students are
young adults, in their near adulthood stage they should be honed in their
school, society, and home to be financially responsible adults, which can be
given by training students to include tracking their expenses, savings,

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comprehend financial principles such as investing, saving, and spending, so
they can effectively navigate the complicated world of finances.
3. Strengthen Financial Control: To address the topic of financial literacy, each must
understand that it starts in the proper mindset. Knowledge shall be paired by
self-control, though it may be challenging because of fast-pacing trends
nowadays, financial literate individuals must be wise to choose which
purchases, or investments they would spend their money on. While still in
college, students shall be taught on how to handle their personal finances,
specially those who are taking Business Administration Major in Financial
Management, because they would be entrusted with bigger finances in their
future careers.
4. Educate that Financial Literacy is for Present and Future Security: Financial Literacy helps
provide a decent and secured future for individuals. Specifically for future Financial Managers,
it gives the ability to perceive which path leads to long-term financial stability or just a
temporary satisfaction by analyzing situations and discerning future financial outcome.
References
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Services by Academic Librarians in Nigeria. Library Philosophy and Practice
(e-journal), 4986, 1-28.

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Journal of Retailing and consumer services, vol. 17, no. 6, pp. 464-477, 2010,
doi: 10.1016/j.jretconser.2010.06.003
G. Lee and H. Lin. (2020), "Customer perceptions of e-service quality in online
shopping," International Journal of Retail & Distribution Management, vol. 33,
no. 2, pp. 161-176, 2005, doi: 10.1108/09590550510581485
S. Achchuthan, N. Sivathaasan, and J. M. R. S. Jayasundara, "Service Quality
Dimension of Electricity Services: Evidence from Electricity Board in Sri
Lanka," Asian Social Science, vol. 10, no. 17, 2014
R. Zhou, X. Wang, Y. Shi, R. Zhang, L. Zhang, and H. Guo. (2020), "Measuring e-
service quality and its importance to customer satisfaction and loyalty: an
empirical study in a telecom setting," Electronic Commerce Research. vol. 19,
no. 3, pp. 477-499, 2019, doi doi:10.1007/s10660-018-9301-3
B. Yoo and N. Donthu. (2018), "Developing a Scale to Measure the Perceived
Quality of an Internet Shopping Site (SITEQUAL)," Quarterly Journal of electronic
commerce, vol. 2, 2018
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Blut, M. (2019). E-Service Quality: Development of a Hierarchical Model. Journal of
Retailing, 92(4), 500–517. https://doi.org/10.1016/j.jretai.2016.09.002
Brusch, I., Schwarz, B. A., & Schmitt, R. (2019). David versus Goliath - Service
quality factors for niche providers in online retailing. Journal of Retailing and
Consumer Services, 50, 266–276.
https://doi.org/10.1016/j.jretconser.2019.05.008
Chang, H. Y., & Wang, H. (2021). The moderating effect of customer perceived
value on online shopping behaviour. Online Information Review, 35(3), 333–
359. https://doi.org/10.1108/14684521111151414
BusinessWorld. (2019). BSP check shows most Filipinos unbanked. BusinessWorld
Online. https://www.bworldonline.com/editors-picks/2018/07/12/172342/bsp-
check-sh ows-most-filipinos-unbanked/
Molina-Castillo, F.-J., Lopez-Nicolas, C., & de Reuver, M. (2020). Mobile Payment:
The Hiding Impact of Learning Costs on User Intentions. Journal of
Theoretical and Applied Electronic Commerce Research, 15(1), 1-12.
Özkan, S., Bindusara, G., & Hackney, R. (2020). Facilitating the adoption of
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e-payment systems: Theoretical constructs and empirical analysis. Journal of
Enterprise Information Management, 23(3), 305-325.
Filipinos are embracing cashless payments – Visa Study. (2019) (n.d.). Visa.
https://www.visa.com.ph/about-visa/newsroom/press-releases/filipinos-are-em
bracing-cashless-payments-visa-study.html
Remo, A. R. (2019, January 19). E-payment gains ground | Inquirer Business.
INQUIRER.net. https://business.inquirer.net/262641/epayment-gains-ground
Project. (2021). Top Ways eCommerce Shoppers Evaluate Post-Purchase
Experiences. Project44. https://www.getconvey.com/blog-d-top-ways-
ecommerce-shoppers-evaluate-p ost-purchase-experiences/
APPENDICES
Appendix 1
Research Instrument for Respondents
Business Administration Department
Phase 1, Bangus St. North Bay Boulevard South-Kaunlaran, Navotas City
Dear Respondent,
The study entitled: “The Importance of financial literacy on BSBA financial management students in
37
Navotas Polytechnic College” is a partial fulfillment of the requirements for the subject, Business
Research
Kindly answer the questions in this questionnaire. Please be rest-assured that your answers will be kept
with utmost confidentiality.
Thank you for your cooperation.
The Researchers
Part I Profile of the Respondent

Instruction: Please put check (✔) on the line provided in each choice.
1.1 Age
_____ 18 below
_____ 19 - 22
_____ 22 - 25
_____ 25 above
1.2 Sex
_____ Male
_____ Female
1.3 Civil Status

_____ Single
_____ Married
_____ Widow/Widower
_____ Legally/Separated
1.4 Year Level

_____ 2nd Year
_____ 3rd Year
_____ 4th Year
1.5 Where do you get your monthly income allowance from?

_____ Parents
_____ Part-time Jobs
_____ Scholarship
_____ Other
PART II. FINANCIAL LITERACY ON BSBA FINANCIAL MANAGEMENT STUDENTS IN NPC.
Direction: Please answer the following as truthfully as possible. Your responses shall have the following
points or weights:
4 - strongly agree / always, 3 - agree / sometimes, 2- disagree / often,1 - strongly disagree / never.
38
Spending habits strongly agree disagree strongly

agree disagree
I make impulsive purchases.
I spend my allowance when I'm craving something .
I borrow some money to buy stuff.
I spend my money whenever there is a sale.
I buy everything I see interesting.
I buy things even when not needed.
Saving habits strongly agree disagree strongly

agree disagree
I save regularly.
I budget my expenses.
I compare prices before buying.
39
I set aside some money for emergency funds
I never overspend beyond my budget
Financial knowledge strongly agree disagree strongly

agree disagree
Money is for spending, not for holding on to.
Financial seminars are important.
I follow economic news and trends.
APPENDIX 2
VALIDATION SHEET FOR RESEARCH INSTRUMENT
Name of Evaluator: Dwight D. Dacquel
Degree: MBA
Position: Professor / Marketing Practitioner
Number of Years in Teaching: <1 year

40
To the Evaluator: Please check the appropriate box for your ratings 5 -
Excellent 2 - Fair
4 - Very Good 1 - Poor
3 - Good
ITEMS 1 2 3 4 5
1. Clarity of Directions and Items The
vocabulary level, language, structure, and
conceptual level of questions suit the level of
participants. The best directions and the items are
written in a clear and understanding manner.
✔
2. Presentation and Organization of
Items
The items are presented and
organized in a logical manner.
41
✔
3. Suitability of Items
The item is appropriate and
represents the substance of the
research. The questions are
designed to determine the
conditions, knowledge, perception
and attitudes that are supposed to
be measured.
✔
4. Adequateness of Items per
Indicator
The items represent the coverage
of research adequately. The
number of questions per area
category is representative enough
42
of all the questions needed for
research.
✔
5. Attainment of Purpose
The instruments as well as a whole,
fulfill the objects for which it was
constructed.
✔
6. Objectivity
Each item questions only one
specific answer or measures only
one behavior and no aspect of the
questionnaires is a suggestion of
the researcher.
✔
7. Scale and Evaluation Rating
Scale
The scale accepted is appropriate
for the items.
43
Remarks:
Include cash in/out percentage or charge fees.
Dwight D. Dacquel, MBA
S
ignature over Printed Name
44
45

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NAVOTAS POLYTECHNIC COLLEGE

THE IMPORTANCE OF FINANCIAL LITERACY ON

BSBA FINANCIAL MANAGEMENT

STUDENTS IN NAVOTAS POLYTECHNIC COLLEGE

A Business Research Paper

In Partial Fulfillment of the Requirements for the Subject,

Title: THE IMPORTANCE OF FINANCIAL LITERACY ON BSBA FINANCIAL

Researchers : Aguillon, Zaimond G.

Obias, Ren Mark C.

Degree : Bachelor of Science in Business Administration,

Institution : Navotas Polytechnic College

Adviser : Prof. Marian Ruiz

THE PROBLEM AND ITS BACKGROUND

they go on to adulthood, specifically the students taking Bachelor of Science in

Business Administration Major in Financial Management in Navotas Polytechnic

to determine their financial literacy on this date and age.

their university studies, it is important to question whether students adequately manage

Financial seminars can be highly effective in empowering Filipinos with the

encourage individuals to take control of their financial future.

Furthermore, financial seminars can empower students to become financially

The importance of financial literacy on BSBA Financial Management students in

Navotas Polytechnic College, can be conceptualized using an Input-Process-Output

the research instruments to the financial management students, gathering their

analysis to explore relationships between variables and draw meaningful conclusions.

financial literacy on BSBA Financial Management students in Navotas Polytechnic

STATEMENT OF THE PROBLEM

This study aims to know the Importance of Financial Literacy.

Specifically, this study will answer the following questions:

1. Demographic profile of the respondent in terms of:

d. Family Monthly Income

2. What is the level of financial literacy of the BSBA Financial Management as a

whole and in the following areas:

3. What recommendations can be drawn based on the result of the study?

SIGNIFICANCE OF THE STUDY

The study of financial literacy is of utmost importance for financial management

decisions regarding their personal finances and investments. Understanding concepts

world of finance confidently. Moreover, financial literacy empowers individuals to plan

result could be significant and beneficial to the following:

about credit and debt.

Businesses. Employees with a good understanding of financial literacy are likely to be

Governments and Society. Financially literate individuals contribute to a more stable

which collectively affects the overall economic health.

Educational Institutions. Schools and universities play a crucial role in imparting

financial management in their personal and professional lives.

SCOPE AND LIMITATIONS OF THE STUDY

This research focuses on the level of financial literacy of Bachelor of Science in

Business Administration Major in Financial Management students at Navotas

magazines, and in the form of websites in other words taken online.

researchers and the respondents.

despite it being encouraged.

Comprehension - the action or capability of understanding something.

Compulsive- resulting from or relating to an irresistible urge, especially one that is

against one's conscious wishes.

Financial - the finances or financial situation of an organization or individual.

Furthermore - in addition; besides (used to introduce a fresh consideration in an

practices, forms of marginalization and deprivation.

Millennials - denoting or relating to a period of a thousand years.

acquired behavior pattern; that is followed regularly.

Wealthy - having a great deal of money, resources, or assets; rich.