1) Amplitude modulation (AM) is described which involves modifying a carrier wave by a modulating signal. Block diagrams of basic AM transmitters and receivers are shown. 2) The document discusses the modulation index and calculations for AM signals including upper and lower sidebands. It also covers power calculations and transmission efficiency. 3) Key aspects of AM including double sideband suppressed carrier (DSB-SC), single sideband (SSB) and vestigial sideband (VSB) are introduced.