Artificial Intelligence basics: which statement correctly describes an AI system in organizations and applications today?

Introduction / Context:
Artificial Intelligence (AI) enables computers to perform tasks that typically require human cognition: classification, prediction, reasoning, planning, and decision-making. Understanding what AI can—and cannot—do is essential for realistic expectations and responsible deployment across domains like healthcare, finance, and operations.

Given Data / Assumptions:

• AI systems may automate or augment decisions under uncertainty.
• AI outputs are probabilistic and depend on data quality and model design.
• Ethical, legal, and practical constraints limit full automation of professional roles.

Concept / Approach:
The correct description is that AI is a computer application where the system makes decisions or judgments, typically using rules, statistical learning, or optimization. Claims of infallibility are false: models can be biased, overfit, or face distribution shifts. The idea that AI will “replace” professionals wholesale is speculative and misleading; current best practice emphasizes augmentation—decision support, triage, and productivity—while retaining human oversight, especially where accountability and empathy matter.

Step-by-Step Solution:

Verification / Alternative check:
Industry standards and regulations mandate human-in-the-loop for high-risk uses (e.g., clinical decision support), reflecting that AI is not infallible and not a total replacement.

Why Other Options Are Wrong:
“Two of the above” cannot be true since (b) and (c) are incorrect; “None” is wrong because (a) is correct.

Common Pitfalls:
Overtrusting algorithmic outputs; neglecting monitoring, governance, and explainability; ignoring data lineage and bias mitigation.

Final Answer:
it is computer application where the computer makes decisions or judgment