Futures: The parties to the transaction do not have to deliver the physical goods at the early stage of the transaction, but agree to deliver the physical goods at a certain time in the future.

A. The commodity variety, quantity, quality, grade, delivery time, delivery location and other terms of the futures contract are all established and standardized, and the only variable is the price. Standards for futures contracts are usually designed by futures exchanges and approved for listing by national regulatory agencies.

B. Futures contracts are concluded under the organization of a futures exchange and have legal effect, and prices are generated through open bidding in the trading hall of the exchange; most foreign countries use the open outcry method. Our country all uses computer transactions.

C. The performance of futures contracts is guaranteed by the exchange, and private transactions are not allowed.

D. Futures contracts can fulfill or terminate contract obligations by delivering spot goods or conducting hedging transactions.

Gross profit margin

The balance of a commercial enterprise’s commodity sales revenue minus the original purchase price of the commodity. The symmetry of net profit is also called the difference between the purchase and sale of goods. Since commodity circulation fees and taxes have not been deducted, it is not a net profit, so it is called gross profit.

The percentage of gross profit to product sales revenue or operating revenue is called gross profit rate. Gross profit margin is generally divided into comprehensive gross profit margin, classified gross profit margin and single product gross profit margin. The gross profit margin of commodity sales directly reflects the price difference level of all, major categories and certain commodities operated by the enterprise, and is the basis for calculating whether the enterprise's operating results and price setting are reasonable.

Gross profit margin = gross profit/sales revenue. Gross profit margin can help us distinguish fixed costs and variable costs to a certain extent.