Hardware

The hardware are the parts of computer itself including the Central Processing Unit (CPU) and related microchips and micro-circuitry, keyboards, monitors, case and drives (hard, CD, DVD, floppy, optical, tape, etc...). Other extra parts called peripheral components or devices include mouse, printers, modems, scanners, digital cameras and cards(sound, colour, video) etc... Together they are often referred to as a personal computer.
Central Processing Unit - Though the term relates to a specific chip or the processor a CPU's performance is determined by the rest of the computer's circuitry and chips.
Currently the Pentium chip or processor, made by Intel, is the most common CPU though there are many other companies that produce processors for personal computers. Examples are the CPU made by Motorola and AMD.