An analog-to-digital converter (ADC) converts a continuous analog signal to a discrete digital signal. It uses two main processes: quantization, which breaks down the analog value into a set of finite states, and encoding, which assigns a digital word to each state. An ADC uses sampling to take discrete voltage measurements of a signal over time. A digital-to-analog converter (DAC) performs the opposite conversion, reconstructing an analog signal from a digital code. DACs use techniques like binary weighted resistors or R-2R ladders to generate weighted voltage levels corresponding to each bit in the digital input code.