Modulation involves impressing a low frequency signal onto a higher frequency carrier signal to allow for more efficient transmission. Amplitude modulation (AM) varies the amplitude of the carrier signal based on the amplitude of the intelligence signal. The AM signal consists of the carrier signal plus upper and lower sideband frequencies that carry the modulated information. Power in an AM signal is distributed between the carrier and sidebands, with more power in the sidebands for higher modulation indices up to a maximum of 100% modulation.