How Computers Process Data?

The computer system is a data processing machine. It comprises hardware that carries out data processing and consists of several components. These components are input, processing, output and storage. Data is entered into the computer using input devices, then processing is carried out by the processor, output is displayed by output devices and finally data is stored in storage devices.

Data processing takes place when the observable information is converted into electrical signals. Data can be categorized as the numbers and the characters and then that information is algorithmically derived and that is logically deducted and the measured information is derived. From this information multiple data is derived out.
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Data, stored as 1's and 0's is sent to the processor along with instructions that tell the processor how to handle the data.  The 1's are represented by electrical charges and the 0's are the absence of an electrical charge.  The processor has a pin grid array which acts as its means of communicating with other parts of the computer.  The computer electrifies certain pins and the processor will perform whatever instructions were included with them and then give an output, another set of electrically charged/not electrically charged pins.  The Arithmetic Logic Unit, a part of the processor, performs the functions that the processor does such as adding, subtracting, multiplying and dividing.  Along with those it can flip a set of bits and do some other very basic operations.