LabVIEW enables engineers to simulate various communication and control systems. LabVIEW helps to create Virtual Instruments (VIs) which are the files with which the user interacts to accomplish the required task. In this paper, the AM system implementation in LabVIEW is explained in detail along with the observed waveforms. The AM system is implemented using two separate VIs i.e. Transmitter_AM.vi and Receiver_AM.vi. Each VI has two parts: Front Panel and the Block Diagram. The Front Panel is usually the interface the user interacts with and observes results. The block diagram contains the blocks used to implement the functionality required for the operation of the VI. The individual blocks in the block diagram are called the sub VIs. The user may or may not need to make changes in the block diagram of the VI during the execution of the LabVIEW program.