Abstract: A differentially encoded digital signal waveform is generated as a discrete time representation of a desired analog signal utilizing multi-frequency modulation techniques. The computational capability of present day, industry-standard microcomputers equipped with a floating point array processor or digital signal processor chip is utilized to perform digital frequency encoding and compute both discrete Fourier transforms and inverse discrete Fourier transforms to provide a transmitter and receiver system utilizing suitably programmed microcomputers coupled by a communications channel.