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To understand this you must first understand a little about "COMPRESSED" files. The entire scope of the topic "COMPRESSED FILES" is beyond the scope answer but the basics are as follows...

Extracting is used in conjunction with a "COMPRESSED" file. A compressed file (such as a .ZIP, .RAR, .ISO, (and many others)) is a single or group of files arranged in volumes which contain one or more computer files. The files inside the compressed file could be almost any type and are usually stored in the compressed file in order to shrink them into a single archive which is smaller than the files it contains when they are decompressed. This is quite commonly done to make transferring groups of files easier, as well as to make larger files quicker to download or upload since being smaller they do not take as long to send/receive. Two of the most common compression programs are WinZIP and WinRAR (.zip and .rar).

With this in mind when you extract a file you are removing it from the archive, expanding it to its original size then copying the restored file to a specified folder. When you copy a file, you are simply duplicating a file (any file) in memory and writing an exact copy of that file to a specified folder.

Note that if you have a .RAR file (e.g. file1.rar) which contains a bunch of photos you took on vacation (e.g. photo1.jpg, photo2.jpg, photo3.jpg) you could EXTRACT the file1.rar to the folder ("C:\ANYFOLDER") and that folder would contain all of the photos which were in file1.rar. However if you simply COPY file1.rar to "C:\ANYFOLDER" folder, the folder will contain the file 'file1.rar'. You would still have to extract the photos from it should you wish to access them.

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Q: What is the difference between extracting files and copying them?
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