Which financial document is typically used to keep track of transactions?

The ledger card is indeed the correct choice for tracking transactions. It serves as a detailed record for individual accounts, capturing all debits, credits, and the resulting balance over time. This document is essential for maintaining accurate financial records, allowing businesses to monitor financial performance, identify trends, and ensure that all transactions are accounted for. Each entry typically includes the date of the transaction, a brief description, and the amounts involved, making it a crucial tool for financial management.

In contrast, the balance statement offers a snapshot of the overall financial position at a given time but does not track individual transactions. A credit note is issued when a return or adjustment is needed and does not serve as a comprehensive record of ongoing transactions. Lastly, a budget report outlines projected income and expenses but focuses on future financial planning rather than the actual tracking of past transactions.