Image Source

Picture - abbreviated as "pic", a picture is a visual capture of an object. These are electronic or digital pictures or photographs you have to save in any local storage device.

There are three common types of picture files:

Image Source
  1.) .JPG
     - pronounced as "jay-peg".
     - is the short form for .jpeg or Joint Photographic Expects Group
     - file can support 16.7 million colors
     - It is suitable for use when working with full color photographic images.

Image Source
  2.) .GIF
     - Stands for Graphic Interchange Format.
     - image file is capable of displaying transparencies.
     - it is also capable of displaying simple animation
     - file can support 256 colors
     - It is good mostly on logos and art decors with very limited,
       and generally solid colors.

Image Source

  3.) .PNG
     - pronounced as "ping".
     - Stands for Portable Network Graphics
     - It also good in transpencies but unlike .GIF,
       it does not support animation.
     - file can support 16 million colors
     - .PING allows the control of the transparency level or opacity of images.

Source for some information - RBS Empowerment Technology Book.

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