Via site usage I have run the report that shows me the folder permissions.
The problem with this report is that it doesn't tell me if the folder permissions also applies to the sub folder or not.
The report lists all the folders that have some permission set. It doesn't include folders that have inheritence broken. But looking at the row, there isn't a way to tell if the inheritence for the folder is broken or not. Therefore we cannot make out easily if the user has permission to all subfolders in this folder.
For example - if inheritance is broken, then permissions applied to folder aren't inherited by subfolder. The report doesn't seem to have a way to indicate this against the folder. Is there any way?