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Doesn't the AK-74 use 5.45mm ammo?

Nossir. Well, let me qualify that: A variant called the AKM does, but in general, AK's (47's and 74's) use 7.62X39.

Not to jump down your throat, but you need to clarify your weapon types.
AK-47: (7.62mm x 39mm Commbloc) The one. The only.
AKM: (basicly the same thing as an AK-47 but uses more stamped parts) This is the "export" or "clone" most often seen. This variant has been mass produced in over 60 countries. Chambered in 7.62mm x 39mm
AK-74: Newest version to see front line service. Not widely used due to availiblty of ammo. Chambers the 5.45mm round developed in response to the 5.56mm round used by the US in Vietnam. Has issues with exessive muzzle blast and noise.
I like the AK-47. It works, all the time. Put a LER scope on it and you have (provided the weapon was in good shape to begin with) you have a good general purpose rifle.
I have a Yugoslavian clone (machined, not stamped) that I picked up in the 80's. It's stashed for a rainy day.
I think the FN/FAL is a far better weapon, but when you look at bang vs buck the AK is better.

Sorry, Lazz but your off base on your nomenclature. The AK-74 does indeed mean it's a 5.45x39mm catridge. AKM is the stamped steel version of the AK-47, which is the milled original. While some collectors like the machined one (which is more like traditional western style rifle manufacture) most Russians say the stamped AKM is just as good, or better. It weighs about a pound less too. AK-47 is 7.62x39mm

I went to the OPFOR weapons course taught by FMIG. The AK-47s we shot were 7.62x39. The AK-47M is just a cheaper, version of the AK-47, using a stamped receiver. The AK-74 is a newer weapon and is chambered for a newer 5.45mm round. The USSR also liked the idea of a lighter round.