Unable to successfully build ZRS reports using "Managed Folder" as criteria

When building a report in the ZRS, the "Managed Folder" criteria option does not work. Although you are able to add the criteria to your report, choosing "Items in List" from the pick-list in the report builder window presents a list of all managed devices, rather than the expected list of managed folders.

For ZCM 10.3: This is fixed in version 10.3.2 - see KB 7007237 "ZENworks Configuration Management 10.3.2 - update information and list of fixes" which can be found at https://www.novell.com/support