I'm trying to make a simple category list menu like can be seen in the K2 demo.In otherwords, a standard Joomla menu item that displays all categories, which can be then clicked through to subcategories without showing the items.When I make a K2 Category menu item, I don't see any sub categories, in fact there is no output, just the RSS feed icon.

I think the categories in K2 have to be lined up under one master category and "fetch items from subcategories" has to be checked yes.