A novel addressing scheme for an RF-ID system or LAN network is presented in which an interrogator(reader) addresses a set of transponders, each transponder in this set having a common addressing scheme, and the addressed transponders respond only upon the matching of their own address with the received addressing scheme. The addressing scheme comprises a fixed size sub-address and a variable size mask. For example, assuming that the transponder address is 32 bits, the implementation of the addressing scheme can choose 4 bits for the size of the sub-address and 0, 4, 8, 12, 16, 20, 24, 28 bits for the size of the mask. By varying the addressing scheme according to the algorithm in FIG. 4, the reader will in time interrogate all the transponders individually, thus receiving their unique address and achieving the requested exhaustive inventory.