Final answer:
Raphael was in the Vatican working on frescoes in the Stanza della Segnatura, next to the Sistine Chapel, during Michelangelo's creation of the 'Creation of Adam'.
Step-by-step explanation:
Raphael, also known as Raffaello Sanzio da Urbino, was primarily located in the Vatican during the creation of the Creation of Adam, working on his famous frescoes in the Stanza della Segnatura, including the School of Athens. While Michelangelo was painting the Sistine Chapel ceiling, including the iconic Creation of Adam between 1508 and 1512, Raphael was busy creating his masterpieces next door, in a room of the Apostolic Palace. It is interesting to note that Raphael's admiration for Michelangelo's work was so significant that he went back to his painting of the School of Athens and added a figure resembling Michelangelo. The two artists, although having different styles, worked concurrently in the Vatican and had a mutual awareness of each other's artistic developments.