The document discusses the working of transformers. It explains that a transformer is a static device that changes alternating current (AC) voltage levels through magnetic induction between two coils. The changing current in the primary coil produces a magnetic field that is concentrated in the secondary coil, inducing a voltage across it. Transformers consist of magnetic cores and windings, and can be classified by phase (single or three phase), core type (core or shell), or cooling system (self-cooled, oil-cooled, air-cooled). Transformers operate on the principle of mutual induction to increase or decrease voltages for applications.