Abstraction: Is usually done to provide polymorphic access to a set of classes. An abstract class cannot be instantiated thus another class will have to derive from it to create a more concrete representation.
A common usage example of an abstract class can be an implementation of a template method design pattern where an abstract injection point is introduces so that the concrete class can implement it in its own "concrete" way.
see: http://en.wikipedia.org/wiki/Abstraction_(computer_science)
Encapsulation: It is the process of hiding the implementation complexity of a specific class from the client that is going to use it, keep in mind that the "client" may be a program or event the person who wrote the class.
see: http://en.wikipedia.org/wiki/Encapsulation_(object-oriented_programming)