I like thinking about how everything can be and is represented by numbers. For example, plaintext is represented by a code like ASCII, and images are represented by RGB valu
There are 2 steps involved in converting actual analogous audio into a digital form.
Sampling
The rate at which a continuous waveform (in this case, audio) is sampled, is called the sampling rate. The frequency range perceived by humans is 20 - 20,000 Hz. However, CDs use the Nyquist sampling theorem, which means sampling rate of 44,100 Hz, covers frequencies in the range 0 - 22,050Hz.
Quantization
The discrete set of values received from the 'Sampling' phase now need to be converted into a finite number of values. An 8-bit quantization provides 256 possible values, while a 16 bit quantization provides upto 65,536 values.