The document discusses digital signals and digital systems. A digital signal takes on only two discrete values (logic 0 or 1), while an analog signal can assume an infinite number of values. A digital system processes digital signals, representing information as discrete values. Examples of digital systems include computers and microprocessors. Digital systems use two predefined voltage levels, such as 0V and 5V, to represent the logic levels 0 and 1. Digital systems have advantages over analog systems such as higher accuracy, easier design, data storage capability, and less noise and distortion.