The capacity of a computer's memory can be determined by the number of bits , bytes, or words that it holds. Bytes are usually used to express memory. However, the bit is the smallest unit of the computer's number system. The relationship between them is as follows: 8 Bit = 1Byte 1024 Byte = 1 Kilobyte (KB) [1 Byte = 1 Character] 1024 Kilobyte = 1 Megabyte (MB) 1024 Megabyte = 1 Gigabyte (GB) 1024 Gigabyte = 1 Terabyte (TB)