What is JIT (just in time)? how it works?

Before Microsoft intermediate language (MSIL) can be executed, it must be converted by a .NET Framework just-in-time (JIT) compiler to native code, which is CPU-specific code that runs on the same computer architecture as the JIT compiler.
Rather than using time and memory to convert all the MSIL in a portable executable (PE) file to native code, it converts the MSIL as it is needed during execution and stores the resulting native code so that it is accessible for subsequent calls.
The runtime supplies another mode of compilation called install-time code generation. The install-time code generation mode converts MSIL to native code just as the regular JIT compiler does, but it converts larger units of code at a time, storing the resulting native code for use when the assembly is subsequently loaded and executed.
As part of compiling MSIL to native code, code must pass a verification process unless an administrator has established a security policy that allows code to bypass verification. Verification examines MSIL and metadata to find out whether the code can be determined to be type safe, which means that it is known to access only the memory locations it is authorized to access.