Concept:
An ADC takes analog input and gives output corresponding to the quantized level in the discrete domain. This conversion introduces quantization error in the output.
For 'n' bit ADC having full-scale reading as Vfs,
\(Resolution={V_{fs}\over2^n-1}\)
Quantization error = resolution / 2
Application:
Given number of bits, n = 10
Vfs = 10.23 V
So, Resolution
\(=\normalsize{10.23\over 2^{10}-1}\)
= 10 mV
Quantization error
\(=\frac{10}{2}\)
= 5 mV
Resolution determines the precision of a measurement.
As the number of bits of ADC is increased, quantization error decreases but the cost of ADC increases.