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Correct answer: C. In your home directory, until you explicitly save it to the workspace.
Explanation
The principle — A plan is a real, editable document, but not a project file by default. Cursor stores it outside your repository unless you move it there.
Why the key is correct — The documentation states that plans are saved by default in your home directory, and offers a Save to workspace action that moves one into the project. Sharing a plan is a deliberate step, not a side effect of building it.
Why the others are wrong — Nothing writes the plan into the workspace root or a tracked project folder, so a teammate pulling the branch finds no record of the approach. Nor is it merely transcript text; it opens as a file you can edit before you build.
Remember this — If a plan should outlive the machine or reach the team, save it to the workspace.
Sources — Cursor's Plan Mode documentation.
Sources
“Plans are saved by default in your home directory.”
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