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Step 1 of 1 2.038E A transponder in aircraft can be used to provide altitude information in a gray code format either in a serial or a parallel format (or we can say that, in an advanced gray code format called as Gilham code). This will help the radar to identify the aircraft and to avoid collision. The reason for using gray code format is because of only one bit differs from previous transmission. Whenever the altitude needs to change, transmission is differing by only one bit. Hence it is easy to read the information. If altitude information transmission is not in gray code format, then there are more possibilities for error in reading each and every bit in information. Suppose logic 1 may consider as 0 or logic 0 may consider as 1. Thus there are more possibilities of reading the information in complemented form. Hence a gray code format is an efficient way for a transponder or altitude information transmission in aircraft.