Capacitors store electricity and are used in circuits as temporary batteries. Capacitors are charged by DC current (AC current passes through a capacitor) and that stored charge can later be dissipated into the circuit as needed. Capacitors are often used to maintain power within a system when it is disconnected from its primary power source or to smooth out or filter voltage within a circuit.

In the NM cable used for wiring homes, each cable has three wires inside a sheath with each wire covered in a different color of insulation to indicate its type. The wire with the black insulation is the 'hot' wire, white is the neutral wire, and the ground wire is either covered in green insulation or left bare.

Ohm's law specifies the relationship between voltage (V), current (I), and resistance (R) in an electrical circuit: V = IR.

A moving electric current produces a magnetic field proportional to the amount of current flow. This magnetic field can be made stronger by winding the wire into a coil and further enhanced if done around an iron containing (ferrous) core.

Direct current flows in only one direction in a circuit, from the negative terminal of the voltage source to the positive. A common source of DC is a battery. 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.