The invention provides an image-guided medical instrument that utilizes a tracking device to track the location of at least a portion of the instrument on at least one image of a patient's anatomy. The instrument may include a handle having an operating element, an elongated flexible body member connected to the handle, wherein the body member includes a lumen, a transmission element housed within the lumen of the body member, and a treatment apparatus connected to end of the transmission element, wherein actuation of the operating element actuates the treatment apparatus via the transmission element. The body member also includes at least one sensor element that is utilized by the tracking device to determine position information regarding the treatment apparatus that is used to display the location of the treatment apparatus on the at least one image of the patient's anatomy.