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The range of signals that can be correctly handled by a device. It can be expressed as a ratio, either linear or logarithmic [decibel] or, when digitized, as the word length generated by the quantization process, usually expressed in bits.
The limiting factors, at the low end, are the system noise and,
if applicable, the size of the quantization step. To accommodate simultaneously low and very large signals, one frequently applies a non-linear approach (e.g. logarithmic to maintain constant relative error);
any non-linearity will produce a response where the absolute resolution changes with amplitude, thus requiring a careful choice of the non-linear transfer function.
Rudolf K. Bock, 7 April 1998