This is also called unit distance code or reflected code. This coding system has a property that there is only one bit change between consecutive gray codes. The following table would show gray codes of decimal values.

Binary to gray conversion:
Starting from right to left
- If it is MSB then place it as it is
- Otherwise, Add the bit to the previous bit and place the sum in GRAY, ignoring any carry
- Repeat step 2 till end
Eg. Convert 1011 to gray
Gray to Binary conversion:
Starting from right to left
- If it is MSB then place it as it is
- Otherwise, Add the bit to the previous than corresponding bit of GRAY code and place the sum in GRAY, ignoring any carry
- Repeat step 2 till end
Eg. Convert 1110 to gray

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