File Formats

.GIF

Pronounced giff .GIF stands for Graphics Interchange Format, a bit-mapped graphics file format. This file  basically lets you save a sequence of frames to a single file which will play these frames. This basically let you save mini films or slides to view on the internet or on your Mac or PC.
Click the link below for an example of a .GIF:
throwing-money.gif


.JPEG

Pronounced jay-peg .JPEG is short for Joint Photographic Experts Group. A .JPEG is a file that compresses a raw image to make the file size more manageable. However, you can compress it in such a way the image is no longer clear or legible, which will completely ruin your image (unless thats the style you want your image...). If you are working in Photoshop with layers, it will compress the layers down to a single layer, which you will lose when you open the image back up in Photoshop.
Click the link below for an example of the compression on which you can achieve with a .JPEG:
jpeg-comparisons.jpg

.PSD

.PSD is a file format created through the Adobe program Photoshop. It is a file format that keeps the original quality in which you are working. Unlike .jpeg, it also saves each and every layer down so when you open the file back up, nothing is compressed and you continue to have the freedom and quality.

.PNG