Raster graphics use pixels that can be manipulated but result in lower quality when stretched. Vector graphics use mathematically based paths and shapes that do not lose quality when manipulated. Common file formats include JPEG for compressing images, TIFF for lossless compression, GIF for animations and logos, and BMP for individual pixel editing. Optimizing images reduces file size and improves viewing but also reduces quality. Proper naming conventions and use of folders helps manage and organize graphic assets.