Hello team,
There is no feature currently available in Zephyr to track folder level audit logs. It will be really good to have this feature to include in product.
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Use Case
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User has moved or deleted any sub-folder or root folder under "Project Test Repository", which has lot of testcases. But user forgets the location where it's moved to or cannot remember if user deleted this folder accidentally. So, in this case, if we have folder level tracking in Audit logs, we can easily track the details.