The objective of this paper lies in presenting in theory an interpretation of how signals are detected from the real-time A/O correlator, and scrutinize by experimental processes, thereby to devise a method by which correlation function can be detected in a favorable way in time. An A/O system for real-time correlation function of two signals has been constructed. This optical correlator when at work in intensity modulation mode by acousto- optic device renders higher output signal to noise ration, as compared with the traditional optical signal detection, has simple system as compared with existing optical correlator in amplitude modulation mode.