I may be missing something and pardon me if I am, but wugfresh creates the backup on your PC, so if you are looking for it with TWRP, it will not find it. So, to restore the wugfresh backup, connect the Nexus 7 to your PC and open the ToolKit and it will see the backup you created. If you want a TWRP nandroid backup, you will need to create it from TWRP, and the backup will reside on your tablet.
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You are correct...I was trying to make a copy on my computer but the folder kept coming up empty...all is good now...Thank you!