Welcome to the forum.
maybe this will help.
simply put, a terminal block is a device used to connect 2 different wires through the device by means of a screw terminal on each side of the device.
single level terminal blocks, are just that. 1 wire in, terminal block, 1 wire out
two level terminal blocks are typically 2 single terminal blocks, one on top of the other with no electrical connection. I use these type of terminals for 2 wire sensors such as prox switches, reed switches, photo cells....
three level terminal blocks are typically 3 levels of terminal blocks with no connection between levels. use these for dc 3 wire prox switches, phtos…
you use the multi level terminals to eliminate the need for a lot of terminal blocks and to keep all the sensor wiring together. for example, a 3 wire dc prox switch would require (3) single level terminal blocks or only (1) 3 level terminal block. the bottom level could be dc common, the next level could be dc+, and the top level is the sensor output going to the plc input.
when you have multiple 2 and 3 level terminal blocks, you can order a jumper bar to connect all the dc+ and dc common terminals together, rather than using a lot of wire.
there may be special types of terminal blocks out there that I am not aware of. these are the ones that I use for general I/o wiring. power wiring terminal blocks have 1 large wire in and multiple smaller wires going out.
I hope this helps,
james