The term floating point is derived from the fact that there is no fixed number of digits before and after the decimal point; that is, the decimal point can float.
There are also representations in which the number of digits before and after the decimal point is set, called fixed-point representations.
In general, floating-point representations are slower and less accurate than fixed-point representations, but they can handle a larger range of numbers.
Binary digit values:
… {16 8 4 2 1 . (1/2) (1/4) (1/8)} …
Example
2.75 - > 1 0 . 1 1
Convert to fixed point with corresponding values