The third in a series of theoretical essays intended to supplement the introductory financial accounting course, this article is dedicated to the treatment of inventory and its related conceptual connections. In addition, this paper addresses inventory measurement dilemmas, describes scandalous accounting episodes that have made the headlines, and offers both theoretical and empirical studies about inventory that might be of interest to both students and professors. (Contains 1 footnote.) [For Part II, see EJ899432.]