Unresolved dependency File Entity error I'm trying to run a serious of updates on Drupal. 

However, I'm seeing to be running into the following error:

Unresolved dependency   File Entity (Version >7.x-2.0 required)
Media requires this module and version. Currently using File Entity version 2.0-beta2

Where would the directory structure be so I can update the file entity and do the updates.
Modules are typically found in sites/site_name/module. That's often sites/default/modules.

If your site was installed by a non-standard installation profile, they could also be at /profiles/profile_name/modules, or somewhere else under the profile folder, instead.

To find it quickly, run this from your web root:

find . -name file_entity.info