This paper describes the performance of Adaptive Noise Cancellation system. Basic concept of adaptive noise canceller is to process signals from two input sources and to reduce the level of undesired noise with adaptive filtering techniques. Adaptive filtering techniques play vital role in wide range of applications. An implementation of adaptive noise cancellation system is used to remove undesired noise from a received signal for various audio related applications that has been developed and implemented by MATLAB. The dual channel adaptive noise cancellation system uses an adaptive filter with least mean square algorithm to cancel noise component from primary signal picked up by primary sensor. Various parameters such as convergence behavior, tracking ability of the algorithm, signal to noise ratio, mean square error etc. of ANC system are studied, analyzed for various applications of adaptive noise cancellation and the same are discussed in this paper.