ANS:C - Master file

Master File.

--> The data stored in these files are permanent by nature
--> This file is empty while nature
--> This files are updated only through recent transactions
--> This file stores large amount of data
Eg: customer ledgers, student database

Transaction File.

--> The data stored in these files are temporary by nature
--> This file contains data only for period of time and send to the master file
--> Any data to be modified is done in this file
--> In this file the data to be modified is stored .
Eg: price of the products, customers order for the products, inserting new data to the database etc.