One of the things that drives me crazy with Google Docs/Drive is when I convert an existing Word/Excel/Powerpoint file into Google Docs format. The converted doc gets placed in the top level (root) of my Google drive instead of in the folder that the original office doc is located.
Clicking on the folder icon shows where the file is currently located, while clicking the big blue Organize allows you to quickly change where the file is stored!
Just click on the folder you’d like to move it to and click the Apply changes button. Voila!