What type of file stores data that is frequently updated to reflect current activities or changes within a system?

Explanation

Transaction files record individual activities like sales, purchases, or updates. They capture what happened, when, and how much. These files get updated constantly as business happens.

Master files hold permanent data like customer lists. Temporary files exist briefly during processing. Reference files contain lookup data that rarely changes.

Transaction files feed information into master files during updates. They keep track of all changes and activities over time.