I guess I don't have to explain more as the excerpt below does the job(ZT http://www.mustangsandmore.com/ubb/DanJonesTorqueVsHP.html):
What this all boils down to is, as far as maximum automobile acceleration is
concerned, all that really matters is the maximum torque imparted to the
ground by the tires (assuming adequate traction). At first glance it might
seem that, given two engines of different torque output, the engine that
produces the greater torque will be the engine that provides the greatest
acceleration. This is incorrect and it's also where horsepower figures into
the discussion. Earlier, I noted that the torque and horsepower peaks of an
engine do not necessarily occur simultaneously. Considering only the torque
peak neglects the potential torque multiplication offered by the
transmission,
final drive ratio, and tire diameter. It's the torque applied by the tires
to
the ground that actually accelerates a car, not the torque generated by the
engine. Horsepower, being the rate at which torque is produced, is an
indicator of how much *potential* torque multiplication is available. In
other words, horsepower describes how much engine rpm can be traded for tire
torque. The word "potential" is important here. If a car is not geared
properly, it will be unable to take full advantage of the engine's
horsepower.
Ideally, a continuously variable transmission which holds rpm at an engine's
horsepower peak, would yield the best possible acceleration. Unfortunately