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The process of formatting C drive and reinstall operating system is commonly known as formatting computer. Since all your operating system files are stored in C drive, you can not format directly by right clicking on C drive and then by clicking on format option.
So there is a step by step process through which you can format your computer or laptop. In most usual sense formatting computer includes formatting drives, partitioning of drives and reinstallation of operating system. Here is a complete guide for formatting computer using cd/dvd.