I bought a Ipad 16gb, and it shows the capacity is 13.9gb, why?

I bought an Ipad 16gb  and when I got the settings, about,  I see the capacity is only for 13.9 GB  and I have not download anything.,  looks like they gave me less GB than what I bought??  

http://en.wikipedia.org/wiki/Hard_disk_drive
See the subsection titled "Capacity" for a detailed explanation.
Best of luck.

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