Why?
Categories are helpful in keeping the gradebook organized. Many times it helps to refer to the course syllabus to determine which categories should be created.

For example, let's look at this grading structure breakdown:

If this was our syllabus, we could create gradebook categories for each of the different areas. This will help ensure that the gradebook aligns with the course syllabus. This is especially helpful during course mapping and gradebook development.

How?
If you want to add categories within your gradebook, proceed with the following steps:

1. Navigate to your course

2. Select the Grades tab:

3. From the centered drop-down menu, select Gradebook setup:

4. Scroll to the bottom of the gradebook setup page and select Add category:

5. You will then be prompted to configure settings for the category (name, aggregation type, etc.)

It is recommended for simplicity to have your aggregation type within each category match that of the entire course

6. Lastly, Save changes: