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What's the difference between a GIF and a JPEG?
Both GIF and JPEG are acronyms which offer hints to their ideal use: GIF means Graphics Interchange Format, JPEG means Joint Photographers Experts Group. As the names themselves state, GIFs are generally better for graphics (such as logos), and JPEGs are generally better for photographs.
You need to look at your graphic to decide which is better. If your graphic has a limited number of flat colors, and doesn't contain much in the way of gradients (when one color slowly turns into another, like a sunset) then you should make it a GIF. If your graphic has gradients or lots of colors (like most photographs), you should make it a JPEG.
When in doubt, try saving as both, and compare the results in your browser. Check the quality (and file size if you're putting it on your website) and make the choice! (Marty)