Categories with a module

I have been trying for a week to add a categories menu in a module as the documentation shows. I have read the instructions at least a 100 times but I just cannot understand the last paragraph where it explains how to make the menu work. I have a mental block and I just can't grasp the concept. Can I get a step by step instruction for this step or is there any other help? I'm getting desperate.

That is good to know that the last paragraph does not apply. I just purchased the business version and downloaded it this week. Unfortunately, my menu does not work correctly. Attached is a screen shot of the module set up. The store is set up so only employees can get to it. If you need to see the actual store, I can set you up with access but not on the forum boards. Just give me an email address and I will give you an id and password. Thank you for your help

Please notice the difference in the URL's between the two menu's; the main menu and the menu in the module:
The main menu (This works) bluemoonwebsolutions.com/websites/compuc...keting-a-advertising

The module menu (This does not work) bluemoonwebsolutions.com/websites/compuc...keting-a-advertising

Hope this helps

Bob

I have attached several screen shots of the relevant modules and menus. Please let me know if I missed anything.
Thanks