Photoshop's native file type uses the .psd file extension, which stands for 'Photoshop Document' and retains all editable elements of a project.
The filename extension for Photoshop's native file type is .psd. This extension stands for Photoshop Document, which is the default format that Photoshop uses to save data. PSD files preserve layers, text, masks, and other editable elements of your project, allowing you to return to the document later and resume editing exactly where you left off.
A PSD file is advantageous because it supports various imaging options available within Photoshop. This means that all the intricate details of your graphics work are retained. However, to use or view PSD files, you generally need Photoshop software or another program compatible with PSD files.
The .psd extension is the correct answer to the student's question about Photoshop's native file type.