Prague is highly under-rated destination in Europe. But those people who have visited the city fall in love with it not just because of its beautiful history but also due to the hospitality of the Czech people (which is hard to find in many other places). It is one of the few cities which escaped bombing during the World war-II and thus retains most of its Gothic architecture. Moreover Prague is very cheap (comparable with Indian cities) and plenty of accommodation is available for people of all budgets. As a tourist I never faced any problem there. You do not have to worry about public transport all the places are pretty much walkable, most of the shops are open till late night and many people can talk in English. Prague is well connected to all the major cities in Europe.
To be honest, there are not many places to be visited in Prague, however the carefree life in the city, calm atmosphere and the beautiful medieval age ambience can really make you stay longer. Moreover picturesque sites on the banks of Vltava river are hard to forget. There is a very popular "Charles"Ã‚Â� which connects the main city to the other part of the city where you will find the old palace. There are not many medieval age palaces left in Europe. Most of them were destroyed by the Nazis and communists. However in Prague you can find one.
Food is pretty ordinary. Those people who drink, beer is cheap in Czech Republic (my friends who drink told me this).
Very close to Prague (less than 100 km) is the historical city of Kutna Hora. It is not just famous for its cathedral (Cathedral of the lady) but also for its Ossuary and museums on silver mining.