When Sharing Files over a Public Folder, where are the files stored?

Question

I am using a public network to share files between different computers. I was just curious where are the files when they are in the public folder and how exactly does the sharing even occur?

Answer 1

They are in C:/Documents and Settings/All Users.  

The PC's communicate with one another, and the files are seen on the opposing computer via the network.  The file can then be seen and copied bit by bit.

Regards,

Dane