Pikus, Thanks for your response. I've looked at Chip's download, but
am not quite sure how to adapt/modify it to solve my problem.
I am looking for something similar to Tom Ogilvy's reponse earlier, on
this subject.
The initial match in my problem is made on column C(item#).
If a match is found on the target worksheet, that row is then matched
cell by cell with the current row on master. The target row should
then be written to a third worksheet (new target), highlighting cells
that differed in value with master.
Rows in master that do not find a match in target should also be
copied to new target.
Orphan rows in target (match on item#) should not be copied to new
target. Master, target and the new target will all have identical
columns. In addition, the new target will have the same items (column
C) as in master.

thanks. . . Anna