'86 4000Q suspension question

Greetings Audi-philes
Could somebody please tell me where the "damping ring" near the top of the strut assembly goes? My Haynes manual shows the part and mentions
that it should dusted with talcum powder before installation (to prevent heat rash as well as offensive odors I suppose), but there's no indication of whether it goes under the body with the strut bearing, or above the body under the dished flange/washer below the locking nut.
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