Ubuntu settings

I've been talking with one of my tutors at college about the computers and from what I can tell he's looking introducing Ubuntu as Live CDs to all students, while setting up a small dedicated linux suite. The thing is, afaik Ubuntu settings can't be saved if using the live version. Is there a way that preferances can be saved and loaded on boot? I know knoppix can do this, but I don't know about ubuntu.

If someone can provide details on either, or even both, that'd be good. I've forgotten the knoppix method, but will suggest this if ubuntu live settings can't be saved.