This visual trace shows how tsconfig.json is created and configured step-by-step. First, the file is created empty. Then, the compilerOptions object is added. Next, target is set to ES6, meaning the output JavaScript will use ES6 features. The module system is set to commonjs for imports and exports. Strict mode is enabled to catch more errors. The include field is added to specify that only files in the src folder are compiled. Finally, the TypeScript compiler reads this config and compiles the files accordingly, producing JavaScript or showing errors. Variables like compilerOptions and include change as options are added. Key moments include why include is important, what strict mode does, and what happens if target is missing. The quizzes test understanding of these steps and values. This helps beginners see how tsconfig.json controls the TypeScript build process.