Material balance accounting is a form of economic accounting based on balancing inputs with outputs in terms of natural units (expressed in physical quantities as opposed to money). Material balance planning consists of a central planning board specifying a list of inputs required to produce one unit of output and then balancing outputs and inputs so that there is a balance between supply and demand.[1] Material balance planning was utilized to a limited extent in Soviet-style planned economies. Although it never replaced financial calculations, material balances became an established part of Soviet planning.