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• Software, on the other hand, is the set of instructions a computer uses to manipulate data, such as a word-processing program or a video game. • These programs are usually stored and transferred via the computer's hardware to and from the CPU. • Software also governs how the hardware is utilized; for example, how information is retrieved from a storage device. • The interaction between the input and output hardware is controlled by software called the Basic Input Output System software (BIOS). • Although microprocessors are still technically considered to be hardware, portions of their function are also associated with computer software. • Since microprocessors have both hardware and software aspects they are therefore often referred to as firmware