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In addition to using libraries to see files from several places on your computer, you can also use it to display files sorted by meta-data, such as the date the files was edited last, or tags.
Libraries have an arrange-by option, which, by default, is set to Folder. By clicking it, you get the option to arrange by day, month rating or tag. The music library can be arranged by album, artist, song, genre, or rating.