Because you are using Toggle Show Files (second toolbar button from the left), you're opted to split the Content Explorer into two panes. In that view, the left pane is only ever going to show folders, but not files. Files are viewable only in the right pane. You can expand the folder structures shown in the left pane with the + button, but again, that won't show files. And you can multi-select files and folders in the right pane, which you'd not be able to do in the single-pane view of the CE.
I tend to use the two-pane view only when I want to multi-select files, such as to move multiple files. Otherwise, I tend to use the single-pane view most of the time.
HTH
Nita
RETIRED, but still fond of all the Flare friends I've made. See you around now and then!