Chapter 2 METHODOLOGY This chapter presents the research method used, the respondents, the instrumentation, administration of instruments, and the procedure of analysis.
RESEARCH DESIGN The researcher utilized the descriptive method using qualitative and quantitative quantitat ive approaches in gathering information about the present condition. Krathwohl, D. R., (2009), defined descriptive research as a purposive process of gathering, analyzing, classifying, and tabulating data about prevailing condition, practices, beliefs, processes, processes, trends, and cause-effect cause-effect relationships and then making adequate and accurate interpretation about such data with or without the aid of statistical methods. A descriptive type of research according to Best (1993), involves the collection of data to answer questions concerning the current status of the subjects in the study. It is designed to gather information or conditions existing at a particular period of time. The focus of the whole process is on the discovery of theory on comparison or contrast of the findings.
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The qualitative style is utilized to make a descriptive detail of the data gathered. It is a purposive process of gathering, analyzing, classifying and tabulating information about prevailing conditions, beliefs, processes, trends, cause-effect relationships and then making adequate and accurate and interpretations about such data with the aid of statistical method. It needs smaller but focused samples in which data are categorized into patterns that are used as primary basis for organizing and reporting results. Qualitative
research
involves
the
examination,
analysis
and
interpretation of observations for the purpose of discovering underlying meanings and patterns of relationships, relationships, including classifications of types of phenomena and entities, in a manner that does not involve mathematical models (Krathwohl, (Krathwohl, D. R., 2009). Quantitative research gathers data in numerical form which can be put into categories, or in rank order, or measured in units of measurement. This type of data can be be used to construct graphs and tables of raw data. Quantitative research is a formal, objective, systematic process in which numerical data are used to obtain information about the world.
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This research method is used: to describe variables; to examine relationships among variables; to determine cause-and-effect interactions between variables. (Burns & Grove, 2005) SAMPLING TECHNIQUE The researcher used the random sampling technique. For this purpose, the total number of population of the NEU students from all levels will have to be determined separately from the total number of NEU workers, staffs and teachers. An equal percentage will be taken from each level of the students and from the workers. To exact a more accurate result, a .05 error of margin will be adopted.
RESPONDENTS The principal respondent will be the NEU students, from elementary to Junior and Senior High School, College and Graduate Students, Teachers, Employees and Staff, full time and part time selected randomly.
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INSTRUMENTATION In gathering gatheri ng the data dat a relevant to the study, s tudy, the researcher researc her used structured questionnaire as a survey instrument to elicit the pertinent information from the principal respondents. Questionnaire The questionnaire is the most important instrument used in the study. It is the major tool used by the researcher in gathering the significant data from the respondents. The instrument was designed in a simple and clear manner. The questionnaire was divided into two parts. Part I contained the profile information information on the respondents’ gender, age, monthly income, capacity to save and consume. Part II is on viable to establish a thrift bank for the NEU Community along deposit, interest on deposit, interest on loans and loans rated on both on a five point scale of very important (5), important (4), somewhat important (3), less important (2), and not important (1). Construction The instrument is an electronic sample of research based from the readings cited in Chapter 2. The researcher submitted the first draft of the questionnaire to the adviser for comments and suggestions. Then other two
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professionals in banking institutions to ensure the items would be relevant to the study. Validation The questionnaire were referred to her adviser for connection or modification. The results of the revision served as the basis for its improvement and refinement said instruments were assessed in terms of its construction, organization, structure and purpose. Thirty (30) copies of the questionnaires was initially produced for pilot testing. It was treated using Cronbach’s Alpha using usin g SPSS version 23. When 23. When the revisions were incorporated enough copies of the questionnaire were reproduced for the target respondents. Structured research questionnaires will be formulated to measure basic financial literacy on three contracts, namely, interest and loans rates, inflation, risk awareness in investment.
Administration and Retrieval of Instrument The survey questionnaires were distributed to the students during school days to ensure majority attendance and presence of the students. The researcher tap the assistance of the teachers in explaining to the students the entire process from distribution and collection of the
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questionnaires. The researcher briefly explain to the students the goals and objectives and the relevance of the process being conducted. To enable the researcher to gather the most reliable result and answer from the respondents, interviews were also be resorted and questions from the students was entertained. With regard to teachers, workers and employees, the researcher allow the questionnaires to be taken home for further study and evaluation by the respondents. They were given ample time to reflect on the answers but caveat will be given to them that they should not fabricate or tailored fit their answers. Opinions and suggestions was allowed and incorporated on the analysis of the study. But these kind of answers from the respondents were utilized only in assessing the correctness of the answers given in the questionnaires
and
will
be
weighed
in
making
the
appropriate
recommendations. Interview The researcher conducted an interview using unstructured interview techniques based on the SOP to obtain additional information. In this type, the interviewee talked freely about the topics under consideration, which is
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where the interviewer (researcher). This was done for the purpose of the gathering more information for the enrichment of the study.
Sources of Data The primary sources of data for this study is through distributing and conducting of questionnaire and interviews from the future target market and depositors such as the NEU students and alumni, workers, employees and staff. Interview will also be conducted on representatives Officers from Central bank, Monetary Board, Philippine Deposit Insurance Company (PDIC) and auditing firms from three different leading bank.
DATA ANALYSIS AND PROCEDURE After collating all the data, the researcher made an in-depth analysis and interpretation of the data using the following statistical tools: 1. Frequency and Percentage distribution was used to determine the frequencies of the respondent responses using the formula: P = (f/n) x 100 Where: P = percentage of the distribution f = frequency of an item or response
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n = total number of respondents 2. Weighted Mean was used to interpret the results for problem statements 1 and 2, on the profile of the respondents and viability to establish a thrift bank for the NEU Community along deposit, interest on deposit, interest on loans and loans The responses of the respondents using assigned points. The formula is: WM = ∑ ------N Where:
WM = Weighted Mean X
= Weight of each scale item value
f
= frequency of the responses
N
= number of respondents
The obtained weighted mean will be interpreted using the following scales: Obtained Weighted Mean
Verbal Interpretation
4.50 – 5.00
Very Important
3.50 – 4.49
Important
2.50 – 3.49
Somewhat Important
1.50 – 2.49
Less Important
1.00 – 1.49
Not Important
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