Steps to reproduce:

1. Log into Moodle as an Administrator
2. Create 2 top level categories
3. Create a sub-category for each of the 2 top level categories
4. Go to the /course/index.php on your site.

WHAT I EXPECTED
This should say "Expand All" and be a link right from the start.

WHAT ACTUALLY HAPPENS
It says "Collapse All" text and is not a link until you expand at least one section.

4a. IMPORTANT: At this point, if you played around with more than one category, please reload the page before you proceed with the rest of the steps.

Expand just ONE of the categories by clicking on the triangle next to it.

5. After the first click, notice that the text "Collapse All" has now become a link. Click it. The section you had previously expanded has now collapsed and the "Collapse All" link has become an "Expand All" link. So far so go.

6. Now click this "Expand All" link.

WHAT I EXPECTED
I expected all of the expandable sections to be expanded.

WHAT ACTUALLY HAPPENS
Only the section I expanded and collapsed has expanded.

While this will confuse users, one can simply expand the categories manually by clicking the triangle. Where this really becomes a major issue is when you start having more than just a few categories on your site and need to click on each of them individually to see them all.

Let me know if you have any questions.

Michael Milette