The idea is to define groups of bits as representing specific letters. One commonly used system is the ASCII encoding, which uses groups of 8 bits. Here, the letter "A" (uppercase "A") is encoded as 01000001 (decimal 65), "B" as 01000010 (decimal 66), "C" as 01000011 (decimal 67), etc. Of course, other encodings are possible, and other encodings are, indeed, used.
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111 = 1101111
To convert image to binary, you just have to convert image to binary. Hope this helps.
An easy way is to convert them to decimal, subtract, then convert the answer back to binary.
5 expressed in binary is 101
11.25 is not a valid binary.