A car stereo has four major parts -- the head units, speakers, amplifiers and auxiliary input devices, which may be the CD changer or graphic equalizer. The head unit is the major part that is responsible for the audio system to work. It is a control panel where all the volume and bass controls are located. In some stereos, the head unit holds all of the other three major parts, but may come differently in separate units in other units.  

The amplifiers are the signal boosters while the speakers utilize the power amplifier's boost and swap the signals into audible sound or volume. Most stereo systems have tweeters, woofers, and midrange drivers. The auxiliary devices are the accessories which are not necessary for a stereo to have since it can function without them. Some units have the auxiliary devices assembles into the head unit while others have them in separate models. The CD changers may have multiple changing components that cannot fit into the head unit.  Hence, you may find them at the back of the car, usually unseen in the trunk area. The more parts you add to the car stereo, the higher is the price. 

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