Amplitude modulation is the process in which instantaneous amplitude of audio frequency is directly proportional to the amplitude of the high frequency carrier wave.
Formula used to calculate the depth of modulation is
M=Vm / Vc = Vmax – Vmin / Vmax + Vmin
The range in which the value of the modulation lies is 0 and 1. M in the above equation is called as percentage modulation where its value will be in percentage.