The correct answer is option 2: cytoplasm.

The genetic material of bacteria is found in the cytoplasm. Unlike eukaryotic cells, bacteria do not have a nucleus where their DNA is stored. Instead, their DNA is found in the cytoplasm, which is the gel-like substance that fills the cell.

The DNA in bacteria is organized into a single, circular chromosome. This chromosome contains all the necessary genetic information for the bacteria to survive and reproduce. It contains the genes that code for proteins and other molecules that are important for the cell`s functioning.

The cytoplasm of bacteria also contains other structures, such as ribosomes, which are involved in protein synthesis. However, the genetic material is not found in these structures, but rather in the cytoplasm itself.

It`s important to note that this explanation applies to bacteria, which are prokaryotic cells. In eukaryotic cells, which include cells of plants and animals, the genetic material is found within a nucleus.