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Digital cameras work by saving images to a flash memory card then using compression to maximize the number of photos that can be stored on one card. Most cameras have a small amount of internal memory that is enhanced by adding the flash memory card.
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Most digital cameras have and LCD display on the back of the camera, but it is helpful to also have an optical viewfinder. This is because the LCD uses a lot of battery power, and digital cameras are known for using lots of battery power. Exceptions to this would be extreme close-ups and pictures of large groups.