Newcomer / Intro Equipment Class vs Rating?

It's terribly confusing! What classifies an equipment? Is a Class A equipment better than a Class B one? And what about rating? Does a higher rating number mean the equipment is better WHAT IS GOING ON UGH
 
The letters are the quality. A is best.
The numbers are the size. Bigger is generally better, depending on the ship, though there's a weight tradeoff.

A too-small A-grade module will be worse than a correctly-sized module. For some stuff (cargo racks, for example) this doesn't matter as much, because the smaller one still works. But an A-grade size 3 FSD is too small for a Cobra and is therefore worse than a grade-D size 4.
 
yes class A is better than class B and so on and your level is the max level your slot will take so if you slot is level 3 you can only put up to that on it
 
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