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54 Project 1: Composite Movie AdNote:If you check Skip Transform when Placing in the General pane of the Preferences dialog box, you will not see the diagonal lines and transform handles when you first place a Smart Object layer.3. Press Return/Enter to finalize the placement.After you finalize the placement, the bounding-box handles and crossed diagonal lines disappear. In the Layers panel, the placed file has its own layer (just as the copied layers do). This layer, however, is automatically named, based on the name of the placed file. The layer%u2019s thumbnail indicates that this layer is a Smart Object %u2014 it is linked to the file that you placed. Changes in the original file will also be reflected in the file in which the original is placed. This icon identifies an embedded Smart Object layer.The layer adopts the name of the placed file.4. Choose File>Place Embedded again. Select Rating.ai and click Place. Vector graphics offer several advantages over raster images, including sharper edges and free scaling without deteriorating image quality. To take advantage of these benefits, you might want to maintain vector files as vector objects instead of rasterizing them. Photoshop gives you the option to do exactly that %u2014 maintaining vector information and raster information in the same file.5. In the resulting Open as Smart Object dialog box, choose Bounding Box in the Crop To menu, and then click OK.Because this is a native Illustrator file (identified by the %u201c.ai%u201d extension), you have the same Crop To options as when you actually open an Illustrator file in Photoshop.