QUOTE(M-Man! @ Dec 28 2007 at 03:50 AM)

Thank you, so how does the processor differ from RAM? Don't they both work to make applications run faster?
The processor is like the brain of the computer. It can do all kinds of calculations, operations, etc. which is how programs work.
RAM is your computer's memory. In this memory, temporary values (knows as 'variables') can be stored and accessed by programs.
Now they both have an impact on your computer's performance. If your processors is fast, but not enough memory is available for the programs, your computer will be slow, and get slower the more programs you open. This has to do with the speed of RAM and harddisks.
Let me explain this a bit. Normally, programs use the RAM for storing variables, because of its very high speeds. But if there is no RAM free, the harddisk is used for temporary storage. This will significantly decrease your computer's speed because the harddisk is very slow compared to RAM.
If you have much memory but a slow processor on the other hand, commands are not executed fast, which results in a direct hit on performance.
You kind of have to get a balance between your processor's speed and amount of RAM. ;)