@girishrn
Thats actually okay! Nothing to worry!
the rest space is occupied by the harddisk for storing system data and also its used for partitioning etc.
@Kool dude you are right, our Operating system measures 1GB as 1024 MB and our HDD Manufacturers measure it as 1000 MB, were this problem is not yet been resolved by this two parties and i guess will not be resolved in the future also...
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