Where can you change the Thumbnail Transparency Grid options?

The correct place to change the Thumbnail Transparency Grid options is within the Project panel options button. In Adobe After Effects, the Project panel is where all your assets, including compositions and media, are organized. The Thumbnail Transparency Grid is a visual aid that helps you see how your assets will appear when placed on a transparent background. By accessing the options button within the Project panel, you can adjust the settings related to this grid.

The options available in the Project panel specifically allow you to customize the view and presentation of your thumbnails, making it the most appropriate choice for this setting. Adjusting these settings can enhance your workflow by providing clearer visuals of the assets' backgrounds and allowing you to work with them more efficiently.

Adjustments in layer settings focus more on individual layer attributes, while the Preferences menu typically covers broader application settings that aren't directly related to asset representation in the Project panel. The Workspace layout is concerned with the arrangement of panels and UI rather than specific asset thumbnail options. Each of these other areas serves a different function, making the Project panel options the optimal location for modifying Thumbnail Transparency Grid settings.