Living things are called biotic factors. Non living things are called abiotic factors. Living things include all the plants and animals and single celled organisms. Non living factors include things like the weather, sunlight, soil type, humidity, wind, water etc etc.
How do they interact? In millions of ways. The plants use the sunlight to grow and make their own food (photosynthesis). Plants grow in the soil. Animals make their homes in the water and the land (burrows etc)