PO7O5 code

Chevrolet Optra 2006. Problem with the tranny, check engine on, and when you put the car in drive the tranny shift yto the lowest gear and do not move up as it should be but it is not a permanaent problem it's on and off, PO7O5 code, transmission range circuit sensor mulfunction. Is it true that this device is inside the transmission according to the tranny shop or just in the shift shaft or stick box. I appreciate your help thanks