Let’s check: Module 1 Quiz

Instructions: Write the letter of the correct answer.

1. Financial planning is a comprehensive

evaluation of an individual’s (or household’s)
current and future financial state to predict and
manage future cash flows, expenditures, and
asset values.

a. True b. False
Let’s check
Instructions: Write the letter of the correct answer.

2. Which of the following is not a key component

of financial planning?

a. investing c. budgeting

b. impulse buying d. risk management

Let’s check
Instructions: Write the letter of the correct answer.

3. What is correct savings formula?

a. Income – Savings = Expenses
b. Income – Expenses = Savings
c. Income + Savings = Expenses
d. Income + Expenses = Savings
Let’s check
Instructions: Write the letter of the correct answer.

4. Why is financial planning important?

a. It guarantees high returns on investments.

b. It ensures you never have to worry about money
c. It helps you achieve your financial goals and aspiration
d. It eliminates the need for budgeting and tracking
expenses.
Let’s check
Instructions: Write the letter of the correct answer.
5. Which of the following represents the correct order of the
financial planning cycle?

a. establish goals, analyze current situation, develop a

plan, implement the plan, monitor and reassess
b. develop a plan, establish goals, analyze current
situation, monitor and reassess, implement the plan
c. analyze current situation, establish goals, develop a
plan, implement the plan, monitor and reassess
d. analyze current situation, develop a plan, establish
goals, implement the plan, monitor and reassess
Let’s check: Module 1 Quiz
Instructions: Write the letter of the correct answer.

1. Financial planning is a comprehensive

evaluation of an individual’s (or household’s)
current and future financial state to predict and
manage future cash flows, expenditures, and
asset values.

a. True b. False
Let’s check
Instructions: Write the letter of the correct answer.

2. Which of the following is not a key component

of financial planning?

a. investing c. budgeting

b. impulse buying d. risk management

Let’s check
Instructions: Write the letter of the correct answer.

3. What is correct savings formula?

a. Income – Savings = Expenses
b. Income – Expenses = Savings
c. Income + Savings = Expenses
d. Income + Expenses = Savings
Let’s check
Instructions: Write the letter of the correct answer.

4. Why is financial planning important?

a. It guarantees high returns on investments.

b. It ensures you never have to worry about money
c. It helps you achieve your financial goals and aspiration
d. It eliminates the need for budgeting and tracking
expenses.
Let’s check
Instructions: Write the letter of the correct answer.
5. Which of the following represents the correct order of the
financial planning cycle?

a. establish goals, analyze current situation, develop a

plan, implement the plan, monitor and reassess
b. develop a plan, establish goals, analyze current
situation, monitor and reassess, implement the plan
c. analyze current situation, establish goals, develop a
plan, implement the plan, monitor and reassess
d. analyze current situation, develop a plan, establish
goals, implement the plan, monitor and reassess
 MODULE 2
SAVINGS AND
BUDGETING
Let’s learn: Key facts on savings and budgeting

WHAT IS SAVINGS?
Savings play an essential role in the economy as
they contribute to capital formation, investment,
and economic growth.
By saving, individuals and
businesses accumulate funds that
can be used for various purposes,
such as emergencies, education, housing,
retirement, or starting a business.
Let’s start: Identification
Let’s start: Identification
 SAVING SAVINGS

refers to an activity over time refers to something that exists at any

given time.
Let’s learn: Key facts on savings and budgeting

LIFE CYCLE
EVENTS
a. Controllable Events
refer to the milestones or transitions in life
that individuals have some degree of control
over.

These events are typically influenced by

personal choices, decisions, and actions.
b. Uncontrollable Events
are significant milestones or transitions that individuals
experience in life, such as birth, natural disasters, health
issues, economic downturns, loss of loved ones, changes in
government policies, technological disruptions, and age-
related transitions.

These events, beyond an individual's control, can have

profound impacts on personal, emotional, and
financial aspects of life.
 BE A
WISE
SAVER
let’s watch a
video!
 see you
next week!
 nt
A=P(1+r/
n)^
A=Amount
P=Principal or initial amount
r =Interest Rate (decimal
n=Number
form) of times interest is
compunded per year
nt= Time
 Sample Problem
A principal of P2,000 is placed in a savings account at 3% per
annum compounded annually.

How much is in the account after one year, two years and three
years?
 Sample
Problem
1 year: A = 2000(1 + 0.03) 1 = P2,060.00
2 years: A = 2000(1 + 0.03) 2 = P2,121.80
3 years: A = 2000(1 + 0.03) 3 = P2,185.45
START – never too late to start, get your heart (mind) to start
MOTIVATE – may be hard to start, but try to motivate yourself by
focusing on a financial goal
PERSEVERE – Make it a habit, a routine, (a muscle memory), a
system – saving is life
ipon ipon
din
let’s watch a video!
Let’s learn: Key facts on savings and budgeting

WHAT IS
BUDGETING?
Budgeting is the process of
calculating how much money
you must earn or save during
a particular period of time,
and of planning how you will
spend it: It's important for us
to know about budgeting.
it’s a money
thing BUDGETING BASICS

let’s watch a video!

 see you
next week!
BDO offers an auto debit arrangement service where
customers can set up automatic transfers from their BDO
account to another BDO account or to third-party accounts.

This feature allows individuals to automate their savings by

scheduling regular transfers to their savings or investment
accounts.
BDO's online banking platform enables customers to pay
their bills electronically.

Through BDO Online Banking, users can add their bills as

payees, view their billing statements, and make payments
to various billers such as utilities, telecom providers,
credit cards, and more.
BDO Online Banking provides an electronic fund transfer service
that allows customers to transfer funds between their BDO
accounts or to other BDO accounts.
Users can initiate these transfers conveniently through BDO's online
banking platform.
BDO's mobile banking app offers a seamless and secure way to
transfer funds electronically.
Users can link their accounts, including savings and checking
accounts, and easily perform fund transfers to other BDO accounts
or participating banks using the app.
Let’s try: Case Analysis

Si Juan ay isang mag-aaral sa Don Bosco Training Center na

malapit nang magtapos at nag-iisip na mag-ipon at maglaan ng
budget.

Bilang isang mag-aaral na malapit nang magtapos, nais ni

Juan na matuto at magkaroon ng mga praktikal na payo sa pag-
iipon at pagbubudget na naaangkop sa kanyang kalagayan bilang
isang estudyante.
Let’s try: Case Analysis
1. Ano ang mga hakbang na maaaring gawin ni Juan upang magsimula
sa pag-iipon kahit pa siya ay isang estudyante pa rin?

2. Ano ang mga praktikal na paraan na maaaring gawin ni Juan upang

magkaroon ng masinop na pag-iipon at pagbabadyet sa kanyang mga
gastusin bilang isang mag-aaral na malapit nang magtapos?

3. Magkano ang kikitain ni Juan kung magsisimula siyang mag-ipon ng

Php 500 bawat buwan sa loob ng 5 taon sa isang bangko na may 1.5% na
interes bawat taon?
 nt
A=P(1+r/
A=6,000
n)^ (1+0.015)^1

A=6,000 (1.015)^1

A=P6,090.00 1 year
st
 nt
A=P(1+r/
A=6,000
n)^ (1+0.015)^2
A=6,000 (1.015)^2
A=6,000 (1.030225)

A=P6,181.35 2 year
nd
 nt
A=P(1+r/
A=6,000
n)^ (1+0.015)^3
A=6,000 (1.015)^3
A=6,000 (1.045)

A=P6,274.07 3 year
rd
 nt
A=P(1+r/
A=6,000
n)^ (1+0.015)^4
A=6,000 (1.015)^4
A=6,000 (1.0613)

A=P6,368.18 4 year
th
 nt
A=P(1+r/
A=6,000
n)^ (1+0.015)^5
A=6,000 (1.015)^5
A=6,000 (1.0773)

A=P6,463.70 5 year
th
Let’s relate: Survey on Savings Accounts
 Let’s relate: Self-Assessment
Instructions: Read each question carefully and consider your personal financial situation as a
student. For each question, answer either "yes" or "no" based on whether the statement
accurately reflects your current behavior or financial practices.
Let’s check
Instructions: Write the letter of the correct answer.

1. Which of the following is NOT a benefit of

savings in the economy?

a. Investment c. capital formation

b. economic growth d. increased inflation

Let’s check
Instructions: Write the letter of the correct answer.

2. Controllable life cycle events are influenced by:

a. personal choices and decisions

b. changes in government policies
c. natural disasters and health issues
d. technological disruptions and age-related
transitions
Let’s check
Instructions: Write the letter of the correct answer.

3. Uncontrollable life cycle events refer to

significant milestones that:

a. Are beyond an individual's control

b. Individuals have complete control over
c. Individuals can influence through personal
choices
d. Are related to economic downturns and loss of
loved ones
Let’s check
Instructions: Write the letter of the correct answer.

4. What are the advantages of bank savings?

a. high-risk, high-return potential

b. liquidity, volatility, and low returns
c. limited safety and security measures
d. liquidity, safety, security, and interest
Let’s check
Instructions: Write the letter of the correct answer.

5. What is compounding interest?

a. the reduction of earnings due to inflation
b. the conversion of savings into a different
currency
c. the process of withdrawing earnings from an
investment
d. the reinvestment of earnings to generate
additional earnings over time
Let’s check
Instructions: Write the letter of the correct answer.

1. Which of the following is NOT a benefit of

savings in the economy?

a. Investment c. capital formation

b. economic growth d. increased inflation

Let’s check
Instructions: Write the letter of the correct answer.

2. Controllable life cycle events are influenced by:

a. personal choices and decisions

b. changes in government policies
c. natural disasters and health issues
d. technological disruptions and age-related
transitions
Let’s check
Instructions: Write the letter of the correct answer.

3. Uncontrollable life cycle events refer to

significant milestones that:

a. Are beyond an individual's control

b. Individuals have complete control over
c. Individuals can influence through personal
choices
d. Are related to economic downturns and loss of
loved ones
Let’s check
Instructions: Write the letter of the correct answer.

4. What are the advantages of bank savings?

a. high-risk, high-return potential

b. liquidity, volatility, and low returns
c. limited safety and security measures
d. liquidity, safety, security, and interest
Let’s check
Instructions: Write the letter of the correct answer.

5. What is compounding interest?

a. the reduction of earnings due to inflation
b. the conversion of savings into a different
currency
c. the process of withdrawing earnings from an
investment
d. the reinvestment of earnings to generate
additional earnings over time
 MODULE 3

DEBT MANAGEMENT