How two people, concurrently editing the same file is handled?

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I believe the title says it. I'm new to source control thingy.

So, let's say I have two developers working on the same project and they started editing the same file(s) at the same time then everyone of them send the new version at a slightly different time. From what I understand the one who sends the changes last will have his changes kept, the other one's code will be in the archive only!!!

Is that correct?

Please clarify. Thanks.

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