Application Engine makes the cache directory inside the dire

Application Engine makes the cache directory inside the directory in which the program is set to run. For this I need the path where the application engine can run? And the extension name? On what basis you would prefer to create AE and SQR?

PSAE.exe – Developed in C++ Programming Language.

And the path is c:\\<PS_Home>\\bin\\Client\\Winx86\\PSAE.exe.