Dear Student,
Alveoli are tiny balloon-like structures present inside our lungs. They are thin walled. They have large surface area in relation to the volume. They are lined by a fluid which enables the gases to dissolve easily. They contain an extensive network of blood capillaries. This structure of alveoli allows exchange of O 2 and CO 2 between the blood of the capillaries that surround the alveoli and the gases present in the alveoli.
Regards