are you fucking kidding me 7z file? man what in the actual fuck
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Since it also sounds like you might not know how to use archiving software, after installing it simply adds a 7zip context option to the right click menu. Right click the zipped folder, go to 7zip's options, and "extract to (folder name)"
Do not use extract here unless you want the files dumped where the folder is, instead of in a new folder.