What Does Arithmetic Logic Unit (ALU) Mean?

An arithmetic logic unit (ALU) is a major component of the central processing unit of a computer system. It does all processes related to arithmetic and logic operations that need to be done on instruction words. In some microprocessor architectures, the ALU is divided into the arithmetic unit (AU) and the logic unit (LU).

Techopedia Explains Arithmetic Logic Unit (ALU)

The arithmetic logic unit is that part of the CPU that handles all the calculations the CPU may need. Most of these operations are logical in nature. Depending on how the ALU is designed, it can make the CPU more powerful, but it also consumes more energy and creates more heat. Therefore, there must be a balance between how powerful and complex the ALU is and how expensive the whole unit becomes. This is why faster CPUs are more expensive, consume more power and dissipate more heat.