The object list for add to group is different than the object list

I’m not sure if this is a bug or feature. The sequence of the objects in the list that appears when you add objects to a group doesn’t match the order in the object list. With the addition of folders. I feel like the folders should also show. This isn’t a separate suggestion. My suggestion is for the lists to be identical in sequence and folders. It would actually simplify things.

This is the Windows app.