ABSTRACT
An immediate question which arises in some people’s minds is why so elaborate a Financial Plan should be necessary. The question may be asked why the payment of incomes in money, with a flexible retail market as its corollary, should be regarded as a necessary accompaniment of a planned economy. The addition to this “planned cost” of a small margin of profit, known as the “planned profit” and reckoned at varying rates as a percentage of the “planned cost“, produces a figure which constitutes the selling price of the product of the enterprise. Parallel with the Credit Plan, the Cash Plan regulates the amount of currency that the State Bank is authorised to issue. The planned costs of production and of distribution are the foundation from which is built the final retail price at which commodities pass into the hands of consumers.
