Difference between reading/writing in binary/text format

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I need someone to elaborate the difference between reading/writing to a file in binary and text format. CIE mark schemes show that the binary method is preferred. But what exactly is the difference between the two? I have scarce knowledge about this and only know that it is somewhat related to \n characters and line breaks. So a detailed reply would be highly appreciated.

P.S. This is related to AS Level Computing Paper 2.
 
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Well, most mark schemes i have seen use streamwriter for vb.net, which is a character writer, not a binary writer.

I don't know about the differences though
 
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