.each() ... why, whats the benefit?

.each() ... why, whats the benefit?

Hi Guyz and Galz,
I'm a beginner, actually a designer but really enjoying this stuff.

Question about the .each() function.

Whats the difference between these:

   $("li").click(function () {
      $("li").each(function(){
        $(this).toggleClass("example");
      });
    });


and

   $("li").click(function () {
      $("li").toggleClass("example");
    });



They do the same

I am obviously missing something, but why would you want to use .each() what's the benefit.