Iron makes chemical compounds with other elements. Normally the other element oxidizes iron. Sometimes two electrons are taken and sometimes three. Compounds where iron has two electrons taken are called ferrous compounds. Compounds where iron has three electrons taken are called ferric compounds. Ferrous compounds have iron in its +2 oxidation state. Ferric compounds have iron in its +3 oxidation state. Iron compounds can be black, brown, yellow, green, or purple.