In contrast to the constant one-way flow of direct current, alternating current changes direction many times each second. Electricity is delivered from power stations to customers as AC because it provides a more efficient way to transport electricity over long distances.

All electricity is the movement of electrons which are subatomic particles that orbit the nucleus of an atom. Electrons occupy various energy levels called shells and how well an element enables the flow of electrons depends on how many electrons occupy its outer (valence) electron shell.

Resistors are used to limit voltage and/or current in a circuit and can have a fixed or variable resistance. Variable resistors (often called potentiometers or rheostats) are used when dynamic control over the voltage/current in a circuit is needed, for example, in a light dimmer or volume control.

A transformer utilizes an inductor to increase or decrease the voltage in a circuit. AC flowing in a coil wrapped around an iron core magnetizes the core causing it to produce a magnetic field. This magnetic field generates a voltage in a nearby coil of wire and, depending on the number of turns in the wire of the primary (source) and secondary coils and their proximity, voltage is induced in the secondary coil.

The transistor is the foundation of modern electronic devices. It is made entirely from semiconductor material (making it a solid state device) and can serve many different functions in a circuit including acting as a switch, amplifier, or current regulator. A transistor works by allowing a small amount of current applied at the base to control general current flow from collector to emitter through the transistor.