I'd like to create a list of all the folders on my hard drive; Column A
would contain the folder name (starting at the root level), Column B would
then contain the names of the folders in each of the Column A folders, Column
C contains the names of the folders inside the Column B folders etc. Then,
the next root level folder's name is entered into column A etc.

The trick is that when I go to sort the data, I'd like the original
relationship between each the columns to be retained. And, ideally, I'd like
to be able to "shrink" the hierarchy on a folder by folder basis.

Can it be done in Excel?