Welcome to WordPress, and thanks for your question.
As you have discovered, MLA extends taxonomy support to Media Library items and provides the Att. Categories and Att. Tags taxonomies for your convenience. Most users prefer separate taxonomies for the Media Library, but you can use the WordPress Categories and Tags or any other custom taxonomy that makes sense.
MLA does not have any features to support a “folders” view of the Media Library. There are many plugins that implement those features in a variety of ways and I have never found a way to make MLA more than minimally compatible with any of them.
This subject has come up in earlier support topics, and you can find much more information by reviewing them:
Folder Management?
Conflict with Filebird?
RML integration
How to map Image Date to Upload Date
As you will see in the earlier topics, I personally do not like folder-based organization for the Media Library, although I know that the above plugins are quite popular.
Regarding MLA in general, you may find some useful information in this topic and the others it links to:
Basic newbie where to start
I know MLA is powerful but complex. I try to make it as “WordPress-like” as possible so whatever you learn about core WordPress will apply to MLA as well. I also try my best to provide support in this forum and I encourage you to start a new topic if you have problems or further questions.
I am marking this topic resolved, but please update it if you have further questions about “folders” and the material in the earlier topics. Thank you for your interest in MLA, and I wish you every success with your application.