Here's why:

* Element: A pure substance consisting of only one type of atom. Examples: oxygen (O), carbon (C), gold (Au).

* Compound: A substance formed when two or more different elements chemically combine in a fixed ratio. Examples: water (H₂O), carbon dioxide (CO₂), table salt (NaCl).

When elements bond, they share or transfer electrons to achieve a more stable electron configuration. This results in the formation of a new substance with properties distinct from the original elements.