This paper is on multi-carrier wireless communication system, focusing on the physical layer in such modulation system. Multi-Carrier MC system has received much attention in modern communication technology and is finding attractive applications. The paper introduces and discusses the discrete cosine transform DCT-based MC. Similarities and differences with respect to the Fourier transform-based system are pointed out. It was found that a reduction up to 5dB in peak power can be gained over the conventional system. Also, the simulation over flat fading channel depicted that QAM signaling in MC scheme based on DCT performed better than that in FFT-based scheme, although it depends strongly on the channel parameters.