Hi Madiha,
I quoted you a part of an article concerning amplification.
Transistors are devices that can amplify a signal in a circuit. If a signal in a circuit is too weak, it may not be enough to provide power to turn or or drive the load for a circuit. A transistor can provide amplfication from anywhere to up to 10,000% gain so that it can boost a signal in a circuit up to a desired level.
Say, we have a circuit in which we want to light an LED, but the current in the circuit is 40µA, too small to light an LED. If this is the current that we have flowing through the circuit, it's too small to do the desired task, which is to light the LED. However, if we place a transistor in the circuit, which has a gain of 100, the signal will be boosted from 40µA to 40x100=4mA. This current will now be sufficient to light our LED in the circuit. So transistor amplification has tremendous application when we need signal gain.
http://goo.gl/ABVJkQHope it helps,