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In particular, IEEE 754 already uses "canonical NaN" with the meaning of "canonical encoding of a NaN" (e.g. "isCanonical(x) is true if and only if x is a finite number, infinity, or NaN that is canonical." page 38, but also for totalOrder page 42), thus a different meaning from what is used here. Please help clarify the section.
The standard also defines representations for positive and negative infinity, a "negative zero", five exceptions to handle invalid results like division by zero, special values called NaNs for representing those exceptions, denormal numbers to represent numbers smaller than shown above, and four rounding modes.
NaN is sortable. NaN is treated as if it had a larger absolute value than Infinity (or any other floating-point numbers). (−NaN < −Infinity; +Infinity < +NaN.) qNaN and sNaN are treated as if qNaN had a larger absolute value than sNaN. (−qNaN < −sNaN; +sNaN < +qNaN.) NaN is then sorted according to the payload.
A NaN (not a number) value represents undefined results. In IEEE arithmetic, division of 0/0 or ∞/∞ results in NaN, but otherwise division always produces a well-defined result. Dividing any non-zero number by positive zero (+0) results in an infinity of the same sign as the dividend.
Single-precision floating-point format (sometimes called FP32 or float32) is a computer number format, usually occupying 32 bits in computer memory; it represents a wide dynamic range of numeric values by using a floating radix point.
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If the four bits after the sign bit are "1111" then the value is an infinity or a NaN, as described above: 0 11110 xx...x +infinity 1 11110 xx...x -infinity x 11111 0x...x a quiet NaN x 11111 1x...x a signalling NaN