How does AutoHotKey work?

[afe]

Hello,

What happens if I put AutoHotKey.exe and AutoHotKey.ahk in the same directory and run AutoHotKey.exe?

AutoHotKey.exe will read all the content from AutoHotKey.ahk into memory, then explain and execute it? Is that right?
If so, is it possible to read the source code directly from memory instead of reading it from the hard disk?
If not, how does that work?

Thanks.