You can use Windows Explorer in Windows XP to move or copy a file by dragging the file icon to a folder. When you have Folders displayed on the left side of the window, it's easy to drag a file to a different folder.
If the folder you want isn't visible because the folder it's in is not expanded, here's a trick that will save you time and frustration. Drag the file icon to the collapsed (unexpanded) folder, and hold it there for a few seconds. The folder automatically expands and then you can drop the file into the folder you want.
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