I'm needing help understanding this coding theory assignment

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I'm needing help understanding how to approach this assignment.

  • Create a code consisting of binary codewords.
  • The code must meet three requirements -- Contain at least 20 codewords -- Have a minimum distance of 3 (explain why a min distance of 4 is no better than 3) -- Maintain efficiency by using the fewest number of bits per codeword as possible
  • Clearly document and describe your code: what it is, why you chose it, etc.

I understand the concept of a codeword in that it encodes data into 'bits' of information. For example, the set {A,B,C,D} can be encoded as {01,11,00,10} and we can use the nearest neighbor algorithm to 'change' any n-tuple received into its correct encoding. I don't understand how to encode 20 'codewords'. Do I simply take all possible permutations of {101010} which are,

  • {111000 110100 110010 110001 101100 101010 101001 100110 100101 100011 011100 011010 011001 010110 010101 010011 001110 001101 001011 000111}

I'm quite confused with how to approach this assignment.