Where does Windows create a system image to?

Question

This may sound stupid, but I'd rather be safe than sorry. If I create a system image in Windows 7 using the control panel tool, and I tell it to create the image in my external HDD, where in the HDD will the image be? Will it change any of the existing files? Is there any way I can tell it where to put the backup?

Answer 1

Tried it out on a different HDD I found. It doesn't delete any files, and puts the backup in a folder called WindowsBackup (something like that).