The capacity to do work is called as Energy. This energy can be stored in different forms. Energy is one of the physical quantities as it is proportional to the mass of the object. The ability of the body to exert a push or a pull against the natural forces like the gravity identifies as to what kind of energy is it. When an object is at rest, the body is said to possess potential energy. In another case, when the object is in motion, then it is said to possess kinetic energy.
Potential energy tends to affect the object within the environment if and only when it gets transformed to other kinds of energy. A rock which rests at the top of cliff said to be an example of the body possessing potential energy. When the rock falls, it possesses kinetic energy. The energy which is stored in a body because of the elevation is called as gravitational potential energy. Some bodies like waterfalls contain both kinetic as well as potential energy. The height of the waterfall is one of the basis for potential energy, while the movement of water is a base for the kinetic energy.
The property of body decides as to what kind of energy is contained in it. The Potential energy changes into kinetic energy when an object moves. Unlike the potential energy, the kinetic energy can be transferred from one body to another body by the process of collision.