It is used to create IP address numbers used only within a particular network (as opposed to valid IP address numbers recognized by the Internet, which must be assigned by InterNIC).
TCP/IP, UDP: Transmission Control Protocol/Internet Protocol (TCP/IP) and Unreliable Datagram Protocol (UDP). TCP/IP is the standard protocol for data transmission over the Internet. Both TCP and UDP are transport layer protocol. TCP performs proper error detection and error recovery, and thus is reliable. UDP on the other hand is not reliable. They both run on top of the IP (Internet Protocol), a network layer protocol.
WAN: Wide Area Network. A network that connects computers located in geographically separate areas (e.g. different buildings, cities, countries). The Internet is a wide area network.