list.sort() is a method of list and sorts the list that it is called on in-place and doesn't return anything.
sorted(collection) takes any iterable (it can be a list, set, tuple, or even a generator) and returns a list with all the items in sorted order.
Since sorted(collection) works any iterable and returns a list it is very useful when chaining method calls or when you can't use list.sort(), such as when iterating over the items in a dictionary (which is a tuple):
dct = { "c": 1, "b": 3, "a": 7 }
for key, value in sorted(dct.items()):
print("{} = {}".format(key, value))
In your case it doesn't really matter, but I'd go with
file_list = sorted(os.listdir(os.getcwd))
purely out of personal preference (it takes up less space).