Time-distance helioseismology (Duvall et al.) measures the signal due
to solar oscillations at any two points on the surface of the Sun and
cross-correlates them to obtain the time taken by the signal to travel
between the two points. The travel time provides information on the s
olar interior through which the oscillations propagate. Traditional he
lioseismology, on the other hand, studies the mode structure of the po
wer spectrum of the oscillations, which also provides information on t
he internal structure of the Sun. In this paper, a theoretical basis f
or time-distance helioseismology is presented. Its departure from trad
itional helioseismology is described. The theory can be applied to any
dispersive or nondispersive medium. In time-distance helioseismology,
it provides a method of computing theoretical crosscorrelation functi
ons from solar models for the signals of acoustic-gravity waves measur
ed at any two points on the solar surface. One of the applications of
time-distance helioseismology will be to measure subsurface flows and
rotation. The theory provides a method of computing theoretical cross-
correlation functions from solar models in the presence of any subsurf
ace how, or rotation.