Why is Apply wrap so high up in the Composer Options menu?

Ideally, the order of the items in that menu should be admin-configurable, since different forums have different user and formatting needs. i think you can do something like this to remove the vertical scrolling friction and force the menu to fit all items:

.fk-d-menu[class*=toolbar-menu].fk-d-menu {
    max-height: fit-content;
}

result:

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