From the GMRMI Afghan training manual:
AK-47s use a front post site and rear notch sites (as normally issued). Some have peep sites in the rear. The rear sight has an elevation knob with range indicators from 100 to 1000 meters. Elevation is controlled by moving the slide in the up or down position. Most AK sights do not have a windage adjustment on the rear sight, so you must adjust the front sight instead. The following procedure will establish a zero at 25 meters, and your AK-47 will be set with a 1000 meter battle sight zero. This means that all shots will be within a 41 centimeter circle at all ranges up to 1000 meters:
1. Obtain a US 25 meter zeroing target, or use a make shift white piece of paper with a 5 centimeter box or circle in it. Mount this target on something solid, and place it at 25 meters.
2. Slide the spring loaded catcher down until the range scale 1 (100-meter) mark is aligned with the spring loaded catcher. This establishes “mechanical zero” for the rifle.
3. Carefully aim and fire each shot of a 3-shot group at a paper target set up at 25 meters. If your shots are not striking the point-of-aim, then adjust your sights. The front sight post can be screwed in or out of its base to adjust for elevation. The wrench in the combination tool kit is used for this purpose. Lateral zeroing is done by moving the cylindrical front sight post mount from side to side using the lateral zeroing tool.
4. Moving the front sight slide to the left, right, up or down 1 millimeter changes the strike of the bullet 26cm at 100 meters. One full turn on the front sight post moves the strike of the bullet 20cm when firing at 100 meters.
5. To raise the next shot group, rotate the front sight post in the down direction (clockwise).
6. To lower the next shot group, rotate the front sight post in the up direction (counter-clockwise).
7. If the strike of the bullet is to the left of the control point, the slide of the front sight should be moved to the left; if to the right, to the right.
8. Continue to fire 3-shot groups and adjust the sights until you have a tight group at the point of aim.
9. Once this is done, rifle is now combat-zeroed: all other ranges on the elevation knob are also zeroed, so to engage target at 500 meters, turn the spring loaded catcher to 5.
10. Russian troops routinely zero at 25 meters with rear site at 200 meter setting, as these ranges comprise the bulk of the AK-47's performance window, and where you'll more than likely end up using it. Zeroing at 25 meters with rear ramp set at 200 meters yields point of impcts identical at 25 and 200. Impacts between those ranges will be slightly higher - expect at 100 meters to be 8-12 cms higher.
Ammunition
Use only clean, unrusty ammunition. There are many manufacturers of AK-47 ammunition: Russian, Chinese, European, Pakistani, Arab, and Afghan. Generally speaking:
If the bullet has a green tip, then it is “tracer” ammunition.
If it has a black tip, then it is armor piercing.
If it has a black tip with a red ring at its base, then it is armor piercing incendiary (fire starting).
Keep some tracer ammunition handy: it is useful for marking enemy positions for other shooters, but be advised: it gives away your position, too.
Magazines
Inspect your magazines – make sure that the feed lips that guide ammunition into the chamber are undented, and that ammunition feeds properly. If the magazine is difficult to load, throw it away. If it does not seat in the magazine well, throw it away. If it badly dented, throw it away. Keep your magazines clean and periodically disassemble them and lightly lubricate the springs.
Noise control
AK-47s make a distinctive “CLICK” when they come off safe. If you are trying to act quietly, slowly move the selector to whatever position you desire. This is one of the AK-47s weaknesses compared to the US M-16 rifle: it is noisy coming off SAFE. And you need to take your right hand off the trigger grip to do so.