Computers represent all types of information, including numbers, text, graphics, and sound, using strings of binary digits (0s and 1s). Data is stored in bits, bytes, and words, with each having increasing storage capacity. Different numbering systems such as binary, decimal, hexadecimal are used to represent and work with numeric data inside computers. Text can be encoded using character encoding schemes like ASCII that assign a numeric value to each character. Graphics are represented using pixels organized in rows on a screen.