An agent is defined as any entity that perceives its environment through sensors and acts upon it with actuators, operating in a cycle of perceiving, thinking, and acting. The document categorizes agents into various types based on intelligence and capabilities, including simple reflex agents, model-based reflex agents, goal-based agents, utility-based agents, and learning agents. Additionally, foundational concepts such as Turing machines and expert systems are discussed, outlining the structure, components, and various types of expert systems used in AI.