As was mentioned earlier, Magic Realm uses "chits" (cardboard counters) and small cards to keep track of monsters, equipment, treasure, characters, abilities, spells, and so on. Here is another sheet of chits for Magic Realm.
The top two rows on this sheet are the character markers. As you move around on the Magic Realm map, you move your character markers from one "clearing" to the next, and these character markers indicate where you are on the map. This side of the character markers is the color "tan", and indicate that you are unhidden: the reverse side is green, and indicates that you are hidden. The other three markers on the second row are two sets of regular armor, and one set of magical armor.
The next two rows are horses that you can purchase from the inhabitants (alternatively, you can simply kill the inhabitants and take the horses -- that's what the Black Knight would do). There are three kinds of horses in Magic Realm. Ponies (which double your movement), Workhorses (which allow you an extra move each turn), and Warhorses (which make you well-nigh invulnerable to the smaller monsters, but give you no extra move bonuses).
The next two rows of red chits are the "mundane" weapons. Every character starts the Magic Realm game with certain equipment and weapons, and the remaining equipment and weapons are controlled by the inhabitants. Again, you can buy additional, or better, weapons and equipment from the inhabitants, or, in the case of the Black Knight, simply kill them and take their stuff.
The last row of chits is the armor: helmets, shields and breastplates.