Amplitude Modulation is a process based on the multiplication of two signals: a low-frequency modulator $m(t)$ and a high-frequency carrier $c(t)$.
The modulated signal is mathematically defined as:
$$s(t) = m(t) c(t) = \cos(2\pi f_m t) \sin(2\pi f_c t)$$
Frequency Sidebands
Using the trigonometric identity:
$$\sin(A)\cos(B) = \frac{1}{2}\left[\sin(A-B) + \sin(A+B)\right]$$
We can rewrite the modulated signal as:
$$s(t) = \frac{1}{2}\sin(2\pi (f_c - f_m)t) + \frac{1}{2}\sin(2\pi (f_c + f_m)t)$$
Thus, the output signal contains exactly two frequencies: the lower sideband $f_c - f_m$ and the upper sideband $f_c + f_m$ with half the amplitude. The carrier frequency $f_c$ itself is completely suppressed.
Auditory Effect: When $f_m$ is below 20 Hz, you hear a rhythmic pulsation in volume (tremolo). As $f_m$ enters the audio range, you hear a complex, metallic, and often dissonant double-tone consisting of the sidebands.