Most menus should be self-explanatory enough, so I'm not going 
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to explain them in nitty-gritty detail as if you're some kind of 
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retarded toddler.
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But some things are less obvious.
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For example, in the INVENTORY screen, 
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you can pick up and drag 
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items by clicking on them
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; to equip them, you 
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drag them into the 
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appropriate equipment slots
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 shown for each person. To use an 
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expendable item like a Potion, 
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drag it onto the character's little 
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sprite and click
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. And 
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switch inventories with the arrow keys
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.
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  Also, characters can only use items in battle that they have in 
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their own inventories. To drag items between inventories, pick 
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them up and then cycle through inventories with the arrow keys. 
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To split stacks, hold the 
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S key
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 and keep clicking an existing 
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stack; each click adds one of the stack to the "carried" items.