All Ask Computer and Internet Glossary
Application is used as another word for a computer program. An application could be the software you use to access the Internet, or the software you use to play games or the software you use to word-process. Basically any program that runs on your computer, and performs productive work on your behalf, can be considered an application.
Other software that may run on your computer is system software, for instance the operating system, which will be responsible for integrating a computers ability to run programs and actually work.
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Internet Glossary at AllAsk