In the password file, which contains not only your password, but other information about you, your home directory is set. Each time you log into a specific UNIX computer, you will be deposited into your home directory. There is no standard structure for where home directories are kept in a UNIX file system. This is a decision that's left up to the system administrator. This is a convenient place to store user files, but there's no requirement that user files be kept here.
Some administrators prefer to designate a different directory for home directories.
When you issue this command, you will be given the absolute path of your location in the directory structure. We will discuss absolute paths more fully later in this document. Once you know where you are, it might be nice to wander around a bit. There will be some areas of the UNIX file system that are off limits to you. This is because UNIX files have a set of permissions associated with them.