Rational numbers can be written as fractions or terminating decimals, while irrational numbers are non-repeating and non-terminating decimals that cannot be expressed as fractions. The document provides examples of rational numbers like 3/1, 3/2, 1/9, 4, and 7/1000. Examples of irrational numbers given include the square root of 2 and pi, which have non-repeating decimals. The document includes interactive exercises asking the user to identify numbers as rational or irrational.