Table of Specification

Item
Topic: No. Source
General 16,
knowledge 17 Ambarkhane, Venkataramani, & Singh (2015)
Saving
3 Mandell, L. (2008)
([Link]
content/uploads/2018/08/productattachments_files_q_u_qui
Budgeting 30 ck_financial_literacy_guide.pdf)
[Link]
38, resources/financial-literacy/financial-literacy-quiz/quiz-
39 answers/)
8 Jorgensen, B. (2007)
10,
Compounding 11 Mendes, A. (2013)
interest 32 ([Link]
([Link]
42 title=foolproof-financial-literacy-quiz&q=1)
12 Mendes, A. (2013)
33,
Inflation 43 [Link]
44 ([Link]
21,
23 Ambarkhane, Venkataramani, & Singh (2015)
24,
Government 25,
regulation 49,
19 Self-developed
 ([Link]
48 title=foolproof-financial-literacy-quiz&q=1)
6 Mandell, L. (2008)
Transaction
14 Mendes, A. (2013)
instruments
50 Self-developed
Investing
7 Mandell, L. (2008)
13 Mendes, A. (2013)
([Link]
Risk diversification 26 literacy-quiz/)
([Link]
Lesson-Plan-17-Saving-and-Investing-Strategies-and-
35 [Link])
36 ([Link]
Page 1
title=financial-literacy-quiz&q=5)
4 Mandell, L. (2008)
15 Chen & Volpe (1998)
Return ([Link]
on Investment [Link]?
27 x87657)
([Link]
28 test-financial-literacy/?slreturn=20180918074519)
1,
2 Mandell, L. (2008)
18,
20 Ambarkhane, Venkataramani, & Singh (2015)
([Link]
Liquidity [Link]?
29 x87657)
([Link]
content/uploads/2018/08/productattachments_files_q_u_qui
37 ck_financial_literacy_guide.pdf)
5 Mandell, L. (2008)
([Link]
[Link]?
Short- and Long- 31 x87657)
term saving and ([Link]
investment Lesson-Plan-17-Saving-and-Investing-Strategies-and-
strategies 40 [Link])
([Link]
content/uploads/2018/08/productattachments_files_q_u_qui
41 ck_financial_literacy_guide.pdf)
9 Chen & Volpe (1998)
22 Ambarkhane, Venkataramani, & Singh (2015)
([Link]
34 flash-cards/
([Link]
Insurance content/uploads/2018/08/productattachments_files_q_u_qui
45 ck_financial_literacy_guide.pdf)
([Link]
filipinos-gave-all-the-correct-answers-in-this-quiz-about-
46 money-dare-you-take-it-a00178-20180606)
47 [Link]

Page 2
Survey Questionnaire

Dear Respondents,

Warmest greetings!

We are Bachelor of Science in Accounting Technology students of

University of Luzon, conducting a research study entitled, “Financial Literacy

of College of Accountancy students.” The output of this study may be useful to

BSA and BSAT students in assessing the level of their financial literacy.

Furthermore, this study may be used by the College of Accountancy in

planning activities on how to empower their students to be financially literate.

Whereas, for you, our respondents, this may serve as a means for you to

know where your financial literacy is and what you still need to know to

become responsible with your finances as you become more independent. So,

we would like to ask for your cooperation and honestly answer this

questionnaire.

Thank you for your help and God bless!

In the spirit of research,

The Researchers

Page 3
Survey Questionnaire

Name (optional): ________________________________

Part I:

1. Please rate your level of knowledge of the following savings concepts by

putting a slash (/) using the following descriptions:

5 – Extremely knowledgeable

4 – Highly knowledgeable

3 – Moderately knowledgeable

2 – Slightly knowledgeable

1 – Not knowledgeable

A Savings 5 4 3 2 1
1 Budgeting
1.1 Definition of Budgeting          
1.2 Importance of Budgeting in savings
formation          
1.3 Budget preparation          
2 Compounding interest
2.1 Formula of compound interest          
2.2 Types of interest          
2.3 Computing future value of money          
3 Inflation
3.1 Definition of inflation          
3.2 Types of inflation          
3.3 Effect of inflation on savings          
3.4 Causes of inflation          

Page 4
5 4 3 2 1
4 Government Regulation
4.1 Anti-Money Laundering Act of 2001          
4.2 Philippine Deposit Insurance
Corporation          
4.3 Bangko Sentral ng Pilipinas          
4.4 Insurance Commission          
4.5 Securities and Exchange Commission          
5 Transaction Instruments
5.1 ATM Card          
5.2 Passbook          
5.3 Debit Card          

2. Please rate your level of knowledge of the following savings concepts by

putting a slash (/) using the following descriptions:

5 – Extremely knowledgeable

4 – Highly knowledgeable

3 – Moderately knowledgeable

2 – Slightly knowledgeable

1 – Not knowledgeable

B Investing 5 4 3 2 1
1 Risk Diversification
1.1 Definition of Risk          
1.2 Different types of Risk          
1.3 Risk-Return trade-off (the higher
the return, the higher the reward          
2 Return on Investment
2.1 Definition of ROI          
2.2 Formula in computing ROI          
2.3 Types of ROI Analyses          
Page 5
3 Liquidity
3.1 Definition of Liquidity          
3.2 Liquidity Measurement Ratio          
3.3 Liquidity Risk          
3.4 Importance of Liquidity analysis          
4 Short- and Long-term saving and investment strategies
4.1 Definition of saving          
4.2 Definition of investing          
4.3 Benefits of saving and investing          
4.4 Investing considerations          
4.5 Importance of savings formation          
5 Insurance
5.1 Types of insurance products          
5.2 Coverage of insurance products          
5.3 Importance of insurance          

3. How much did you learn about managing your money from the list of below?

Please rate them by placing a slash (/) using the following descriptions:

5 – Completely

4 – Considerably

3 – Moderately

2 – Slightly

1 – Not at all

  5 4 3 2 1
Parents          
Friends          
School          
5 4 3 2 1
Books          

Page 6
Media          
Life experiences          
Internet          
Seminar          
Financial planner,
counselor          

3. Where do you expect to increase your financial knowledge?

(Check all that apply)

Parents  
Friends  
School  
Books  
Media  
Life experiences  
Internet  
Seminar  
Financial planner, counselor  

4. How would you like to receive financial knowledge?

(Check only two)

1-day seminar   Series of seminars

Reading books,
  pamphlets   Financial planner, consultant

  Infographics

Part II:

Directions: Read the questions carefully and encircle the letter of your answer.
Page 7
1. Rebecca has saved PhP12, 000 for her college expenses by working part-

time. Her plan is to start college next year and she needs all of the money

she saved. Which of the following is the safest place for her college

money?

a) Locked in her closet at home.

b) Stocks.

c) Corporate bonds.

d) A bank savings account.

2. Many people put aside money to take care of unexpected expenses. If

Juan and Elva have money put aside for emergencies, in which of the

following forms would it be of LEAST benefit to them if they needed it

right away?

a) Invested in a down payment on the house.

b) Checking account.

c) Stocks.

d) Savings account.

3. David just found a job with a take-home pay of PhP2, 000 per month. He

must pay PhP900 for rent and PhP150 for groceries each month. He also

spends PhP250per month on transportation. If he budgets PhP100 each

Page 8
month for clothing, PhP200 for restaurants and PhP250 for everything

else, how long will it take him to accumulate savings of PhP600.

a) 3 months.

b) 4 months.

c) 1 month.

d) 2 months.

4. Sara and Joshua just had a baby. They received money as baby gifts and

want to put it away for the baby's education. Which of the following

tends to have the highest growth over periods of time as long as 18

years?

a) A checking account.

b) Stocks.

c) A Philippine Government bond.

d) A savings account.

5. Rob and Mary are the same age. At age 25 Mary began saving PhP2, 000

a year while Rob saved nothing. At age 50, Rob realized that he needed

money for retirement and started saving PhP4, 000 per year while Mary

kept saving her PhP2, 000. Now they are both 75 years old. Who has the

most money in his or her retirement account?

Page 9
a) They would each have the same amount because they put away

exactly the same

b) Rob, because he saved more each year

c) Mary, because she has put away more money

d) Mary, because her money has grown for a longer time at compound

interest

6. Which of the following statements is NOT correct about most ATM

(Automated Teller Machine) cards?

a) You can generally get cash 24 hours-a-day.

b) You can generally obtain information concerning your bank balance at

an ATM machine.

c) You can get cash anywhere in the world with no fee.

d) You must have a bank account to have an ATM Card.

7. Many savings programs are protected by the Philippine government

against loss. Which of the following is not?

a) A Philippine government Treasury bond.

b) A certificate of deposit at the bank.

c) A bond issued by private companies

d) A Philippine government Treasury bond.

8. Which account usually pays the MOST interest?

P a g e 10
a) Certificate of deposit (CD)

b) Savings account

c) Checking account

d) Money Market account

9. The main reason to purchase insurance is to

a) Protect you from a loss recently incurred

b) Provide you with excellent investment returns

c) Protect you from sustaining a catastrophic loss

d) Protect you from small incidental losses

e) Improve your standard of living by filing fraudulent claims

10. Suppose that you had PhP100 in a savings account and the interest

rate was 2% per year. After 5 years, how much do you think would you

have in the account if you left the money to grow?

a) More than PhP100

b) Exactly PhP100

c) Less than PhP100

d) I do not know

11. If you invest PhP1,000 today at a 4% rate for a year, your balance in a

year will be:

a) Higher if the interest is compounded daily rather than monthly

P a g e 11
b) Higher if the interest is compounded yearly rather than quarterly

c) PhP1040 no matter how the interest is computed

d) PhP1000 no matter how the interest is computed

e) I do not know

12. Imagine that the interest rate on your savings account was 1% per year

and the inflation was 2% per year. After 1 year, with the money in this

account, you would be able to buy:

a) More than today

b) Exactly the same as today

c) Less than today

d) I do not know

13. Do you think that the following statement is true or false?

“Buying a single company stock usually provides a safer return than buying a

stock of a mutual fund”

a) True

b) False

c) I do not know

14. Which of the following statements is not correct about almost debit

cards?

a) You can generally get cash 24 hours-a-day

P a g e 12
b) You can generally obtain information concerning your bank balance at

an ATM machine

c) You can get cash anywhere in the world with no fee

d) You must have a bank account to have an ATM card.

e) I do not know

15. Assume you are in your early twenties and you would like to build up

your nest egg for a secure retirement in 30 years. Which of the following

approaches would best meet your needs?

a) Start to build up your savings account gradually in an insured bank

b) Save money in certificate of deposit accounts

c) Put monthly savings in a diversified growth mutual fund

d) Invest in long-term Treasury bonds

e) Accumulate money in a safe-box rented from a local bank

16. Personal finance literacy can help you:

a) Avoid being victimized by financial scams.

b) Buy the right kind of insurance to protect you from catastrophic risk.

c) Learn the right approach to invest for your future needs.

d) Lead a financially secure life through forming healthy spending

habits.

e) Do all of the above.

P a g e 13
17. Personal financial planning involves:

a) Establishing an adequate financial record keeping.

b) Minimizing expenses.

c) Preparing plans for future financial needs and goals.

d) Both A and C.

e) All of these.

18. The most liquid asset is:

a) Money in a fixed deposit account.

b) Money in a saving account.

c) A car.

d) A computer.

e) A house.

19. Which of the following regulates the registration and operation of

investment companies?

a) Securities and Exchange Commission

b) Insurance Commission

c) Bureau of Internal Revenue

d) Philippine Investments House

20. Your savings accounts in a Private bank are insured by

P a g e 14
a) Philippine Deposit Insurance Corporation up to PhP500,000 per

depositor.

b) Securities and Exchange Commission to the maximum amount of

PhP1,000,000

c) Bangko Sentral ng Pilipinas to the maximum amount of PhP50,000

per account.

d) Bureau of Treasury to the maximum amount of PhP100,000.

e) None of these.

21. Which of the following investments require that you keep your money

invested for a specified period or face an early withdrawal penalty?

a) Corporate shares of stock.

b) Savings Accounts.

c) Time deposit.

d) Current Accounts.

e) None of these.

22. The main reason to purchase medical insurance is to

a) After buying medical insurance, you are normally covered for

preexisting conditions.

b) You have a better chance to choose doctors.

c) Compensate for the future medical expenses.

P a g e 15
d) A policy purchased by the individual is cheaper than one purchased

through a group.

e) None of the above.

23. You have a better chance of resolving a complaint against an insurance

company by bringing the issue to a government agency at the

a) Court.

b) Insurance Commission.

c) Securities and Exchange Commission.

d) All of the above.

e) None of the above.

24. When a bank refuses to accept your unfit banknotes for exchanging

with crisp, fit banknotes, you report the incident to

a) Local Police station

b) National Bureau of Investigation

c) Bangko Sentral ng Pilipinas

d) Securities and Exchange Commission

25. You have been the victim of an online scam, you were fooled and

followed the instruction to deposit PhP100,000 to a certain bank

account, which of the following government agency do you report the

incident to?

P a g e 16
a) National Bureau of Investigation

b) Insurance Commission

c) Bangko Sentral ng Pilipinas

d) None of the above

26. When an investor spreads his money among different assets, does the

risk of losing money:

a) Increase

b) Decrease

c) Stay the same

d) Do not know

27. For the same amount of money, you can enter either one of two

lotteries: Lottery A pays a prize of PhP200 and the chance of winning is

5%. Lottery B pays a prize of PhP90,000 and the chance of winning is

0.01%. If you do not win, you do not receive any money. Which lottery

pays the higher average amount?

a) Lottery A

b) Lottery B

c) These two lotteries pay the same average amount.

d) Don’t know

e) Refuse to answer

P a g e 17
28. Considering a long time period (for example 10 or 20 years), which

asset normally gives the highest return?

a) Savings accounts

b) Bonds

c) Stocks

d) Don’t know

e) Prefer not to answer

29. Scenario: Your friend Bob is excited. His daughter will be marrying in

two years and he promised to pay for the wedding festivities. He wants to

set aside the money today and does not want to keep the money in his

bank account. Bob considered the current investment offers from his

bank on the Internet and came up with three interesting products:

I: A commodity fund which invests in gold and which, despite large

fluctuations in the last two years, achieved an annual return after

costs of 7%.

II: A two years fixed-term deposit with a fixed interest of 1.5% per

annum.

III: An insurance product with a guaranteed interest rate of 2.5%

per year and entails an entry cost of 5% of the invested capital.

Which option would you recommend?

P a g e 18
a) I: Commodity fund

b) II: Fixed-term deposit

c) III: Insurance product

d) Don’t know

30. When planning your budget, it is important to use your _____ income.

a) Net

b) Gross

c) Disposable

d) Discretionary

31. Scenario: Alexa is 66 years old and about to retire. She is still in good

health and is looking forward to enjoy her retirement. She owned a small

restaurant and was self-employed for her entire working life. Recently,

she sold the restaurant and put the proceeds into a bank account, which

she considers sufficient to cover unforeseen expenses. She does not have

a partner or close relatives. In addition, she paid into a retirement

savings product which is about to come due. The product provider offers

her two options to access her savings:

I: Alexa can receive PhP250,000 as a lump sum payment right now (in

other words, a single PhP250,000 payment), or

P a g e 19
II: Alexa can receive PhP1,700 as a stream of monthly fixed payments

over her entire lifetime until death

III: Alexa wants to be sure she has enough money until she dies.

Which payout method would you recommend?

a) I: Take the lump sum

b) II: Take the stream of fixed payments

c) III: Does not make any difference

d) Don’t know

32. Suppose you owe PhP1,000 on a loan and the interest rate you are

charged is 20% per year compounded annually. If you didn’t pay

anything off, at this interest rate, how many years would it take for the

amount you owe to double?

a) Less than 2 years

b) 2 to 4 years

c) 5 to 9 years

d) 10 or more years

e) Don’t know

33. Suppose over the next 10 years the prices of the things you buy double.

If your income also doubles, will you be able to buy less than you can

P a g e 20
buy today, the same as you can buy today, or more than you can buy

today?

a) Less;

b) The same;

c) More;

d) Don’t know;

e) Refuse to answer

34. An insured receives a monthly summary for his life insurance policy.

He notices that the cash value of the policy is significantly lower this

month than it was last month. What type of policy does the insured

have?

a) Variable

b) Term

c) Securities

d) Stock

35. The process of owning many stocks in a variety of industries to reduce

investment risk is called

a) Asset allocation

b) Speculating

c) Dollar-cost averaging

P a g e 21
d) Diversification

36. I prefer stable and diversified investments. I should grow my savings in

a) Shares.

b) Gold.

c) Funds.

d) All of the above.

37. It is a financial term that represents how easily an asset or investment

can be converted into cash.

a) Discretionary income

b) Capacity

c) Capital

d) Liquidity

38. What is the first step to creating a monthly budget?

a) Determine your average monthly income and expenses

b) Invest extra funds

c) Divide your income by your expenses

d) Open a new checking account

39. Being on a budget means:

a) You pay bills every month at the due date

P a g e 22
b) You made a plan of your expenses to be less than or equal to your

income 

c) You are earning enough money to be able to live well

d) Your bills are generally paid by every due date

40. What investment strategy do investors typically follow as they get older

and approach retirement?

a) They choose less risky investments

b) They choose more risky investments

c) Their investment strategy does not change

d) They choose speculative investments to try to make a large profit

quickly

41. This strategy will help improve the amount you save for a vacation.

a) Set short-term goals.

b) Set long-term goals.

c) Maximize credit purchases.

d) Defer tax payments

42. If you had a savings account at a bank, which of the following would be

correct concerning the interest that you would earn on this account?

a) Sales tax may be charged on the interest that you earn.

b) You cannot earn interest until you pass your 18th birthday.

P a g e 23
c) Earnings from savings accounts interest may not be taxed.

d) Income tax may be charged on the interest if your income is high

enough.

43. If you purchase a bond and inflation rates rise, what will happen to the

value of the bond?

a) Rise

b) Stay the same

c) Fall

44. If you currently have an income of PhP 60,000 a year, and inflation is

6%, how much income will you need in 5 years’ time to be able to have

the same living standard?

a) PhP60,000

b) Less than PhP60,000

c) More than PhP60,000

d) Don't Know

45. A more-expensive health insurance plan will generally have higher

deductibles and provide less coverage.

a) True

b) False

P a g e 24
46. Which of the following statements best describes the primary

purpose of insurance products?

a) To accumulate savings

b) To protect against risks

c) To make payments or send money

d) Other

47. Health insurance is

a) Only for those who get sick.

b) An unnecessary expense because you may not need it.

c) A must buy item for your budget.

d) More important for women than for men

48. Which type of financial institution is member owned and generally has

the lowest overhead with the best interest rates?

a) Local Bank

b) National Bank

c) Credit Union

d) Savings and Loan Institution

49. What government agency regulates the operations of banks in the

Philippines?

a) Federal Reserve

P a g e 25
b) Bank of the Philippine Islands

c) Bangko Sentral ng Pilipinas

d) Philippine National Bank

50. This is where account balances are printed on every time you make a

deposit, a withdrawal and gets updated for interests earned.

a) Check book

b) Passbook

c) Bank statement

d) Bank reconciliation

P a g e 26
RESEARCH INTERVIEW GUIDE
What factors affected your understanding of risk diversification?
____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

What factors affected your understanding of return on investment?

____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

What factors affected your understanding of liquidity?

____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

What factors affected your knowledge of budgeting?

____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

What factors affected your knowledge of short- and long-term saving and
investment strategies?
____Not discussed in school
____Not yet encountered
____Lack of accessible materials

P a g e 27
____Others, please specify:
____Refuse to answer

What factors affected your knowledge of compounding interest?

____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

What factors affected your knowledge of inflation?

____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

What factors affected your knowledge of insurance?

____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

What affected your knowledge of government regulation?

____Not discussed in school
____Not yet encountered
____Lack of accessible materials
____Others, please specify:
____Refuse to answer

P a g e 28