Categories Manager
Warehouse->Categories

Overview
The Categories Manager helps the Admin to see Edit and arrange the categories in the store. Any new category added in the Admin Section will be displayed in the Store Section.

You can add as many categories and subcategories you need. There are no limitations.
Though, you can choose between using a category for products or for other subcategories.
You won't be able to put both products and subcategories in the same category.

Elements
{Category name} (number of subcategories)
You can click the category name to enter that category, and see the subcategories.
To the right of each category you'll see the number of subcategories inside.

The categories can even have the same name (thought is not recommended to use the same name for two categories because of the confusions that may appear).

Links
From here you can:

See the contents of a category {click the category} return on the same page
Arrange categories [Arrange Categories] Arrange Categories page
Edit a category [Edit] Add/Edit Categories page
Add a category [Add Category] Add/Edit Categories page
Delete a category [Delete] deletes the category