diff --git a/extensions/markdown-language-features/package.nls.json b/extensions/markdown-language-features/package.nls.json
index b99593a6301..af77144f15c 100644
--- a/extensions/markdown-language-features/package.nls.json
+++ b/extensions/markdown-language-features/package.nls.json
@@ -64,7 +64,7 @@
 	"configuration.markdown.updateLinksOnFileMove.include.property": "The glob pattern to match file paths against. Set to true to enable the pattern.",
 	"configuration.markdown.updateLinksOnFileMove.enableForDirectories": "Enable updating links when a directory is moved or renamed in the workspace.",
 	"configuration.markdown.occurrencesHighlight.enabled": "Enable highlighting link occurrences in the current document.",
-	"configuration.markdown.copyFiles.destination": "Defines where files copied created by drop or paste should be created. This is a map from globs that match on the Markdown document to destinations.\n\nThe destinations may use the following variables:\n\n- `${documentFileName}` — The full filename of the Markdown document, for example: `readme.md`.\n- `${documentBaseName}` — The basename of Markdown document, for example: `readme`.\n- `${documentExtName}` — The extension of the Markdown document, for example: `md`.\n- `${documentDirName}` — The name of the Markdown document's parent directory.\n- `${documentWorkspaceFolder}` — The workspace folder for the Markdown document, for example: `/Users/me/myProject`. This is the same as `${documentDirName}` if the file is not part of a workspace.\n- `${fileName}` — The file name of the dropped file, for example: `image.png`.",
+	"configuration.markdown.copyFiles.destination": "Defines where files copied created by drop or paste should be created. This is a map from globs that match on the Markdown document to destinations.\n\nThe destinations may use the following variables:\n\n- `${documentDirName}` — Absolute parent directory path of the Markdown document, e.g. `/Users/me/myProject/docs`.\n- `${documentRelativeDirName}` — Relative parent directory path of the Markdown document, e.g. `docs`. This is the same as `${documentDirName}` if the file is not part of a workspace.\n- `${documentFileName}` — The full filename of the Markdown document, e.g. `README.md`.\n- `${documentBaseName}` — The basename of the Markdown document, e.g. `README`.\n- `${documentExtName}` — The extension of the Markdown document, e.g. `md`.\n- `${documentFilePath}` — Absolute path of the Markdown document, e.g. `/Users/me/myProject/docs/README.md`.\n- `${documentRelativeFilePath}` — Relative path of the Markdown document, e.g. `docs/README.md`. This is the same as `${documentFilePath}` if the file is not part of a workspace.\n- `${documentWorkspaceFolder}` — The workspace folder for the Markdown document, e.g. `/Users/me/myProject`. This is the same as `${documentDirName}` if the file is not part of a workspace.\n- `${fileName}` — The file name of the dropped file, e.g. `image.png`.\n- `${fileExtName}` — The extension of the dropped file, e.g. `png`.",
 	"configuration.markdown.copyFiles.overwriteBehavior": "Controls if files created by drop or paste should overwrite existing files.",
 	"configuration.markdown.copyFiles.overwriteBehavior.nameIncrementally": "If a file with the same name already exists, append a number to the file name, for example: `image.png` becomes `image-1.png`.",
 	"configuration.markdown.copyFiles.overwriteBehavior.overwrite": "If a file with the same name already exists, overwrite it.",
diff --git a/extensions/markdown-language-features/src/languageFeatures/copyFiles/copyFiles.ts b/extensions/markdown-language-features/src/languageFeatures/copyFiles/copyFiles.ts
index 299a8347b1c..dd41b5fa924 100644
--- a/extensions/markdown-language-features/src/languageFeatures/copyFiles/copyFiles.ts
+++ b/extensions/markdown-language-features/src/languageFeatures/copyFiles/copyFiles.ts
@@ -82,20 +82,20 @@ function resolveCopyDestinationSetting(documentUri: vscode.Uri, fileName: string
 
 	const vars = new Map<string, string>([
 		// Document
-		['documentDirName', documentDirName.path], // Absolute parent directory path
-		['documentRelativeDirName', workspaceFolder ? path.posix.relative(workspaceFolder.path, documentDirName.path) : documentDirName.path], // Absolute parent directory path
-		['documentFileName', documentBaseName], // Full filename: file.md
-		['documentBaseName', documentBaseName.slice(0, documentBaseName.length - documentExtName.length)], // Just the name: file
-		['documentExtName', documentExtName.replace('.', '')], // The document ext (without dot): md
-		['documentFilePath', documentUri.path], // Full document path
-		['documentRelativeFilePath', workspaceFolder ? path.posix.relative(workspaceFolder.path, documentUri.path) : documentUri.path], // Full document path relative to workspace
+		['documentDirName', documentDirName.path], // Absolute parent directory path of the Markdown document, e.g. `/Users/me/myProject/docs`.
+		['documentRelativeDirName', workspaceFolder ? path.posix.relative(workspaceFolder.path, documentDirName.path) : documentDirName.path], // Relative parent directory path of the Markdown document, e.g. `docs`. This is the same as `${documentDirName}` if the file is not part of a workspace.
+		['documentFileName', documentBaseName], // The full filename of the Markdown document, e.g. `README.md`.
+		['documentBaseName', documentBaseName.slice(0, documentBaseName.length - documentExtName.length)], // The basename of the Markdown document, e.g. `README`.
+		['documentExtName', documentExtName.replace('.', '')], // The extension of the Markdown document, e.g. `md`.
+		['documentFilePath', documentUri.path], // Absolute path of the Markdown document, e.g. `/Users/me/myProject/docs/README.md`.
+		['documentRelativeFilePath', workspaceFolder ? path.posix.relative(workspaceFolder.path, documentUri.path) : documentUri.path], // Relative path of the Markdown document, e.g. `docs/README.md`. This is the same as `${documentFilePath}` if the file is not part of a workspace.
 
 		// Workspace
-		['documentWorkspaceFolder', ((workspaceFolder ?? documentDirName).path)],
+		['documentWorkspaceFolder', ((workspaceFolder ?? documentDirName).path)], // The workspace folder for the Markdown document, e.g. `/Users/me/myProject`. This is the same as `${documentDirName}` if the file is not part of a workspace.
 
 		// File
-		['fileName', fileName], // Full file name
-		['fileExtName', path.extname(fileName).replace('.', '')], // File extension (without dot): png
+		['fileName', fileName], // The file name of the dropped file, e.g. `image.png`.
+		['fileExtName', path.extname(fileName).replace('.', '')], // The extension of the dropped file, e.g. `png`.
 	]);
 
 	return outDest.replaceAll(/(?<escape>\\\$)|(?<!\\)\$\{(?<name>\w+)(?:\/(?<pattern>(?:\\\/|[^\}\/])+)\/(?<replacement>(?:\\\/|[^\}\/])*)\/)?\}/g, (match, _escape, name, pattern, replacement, _offset, _str, groups) => {