How to arrange artist list on IPod Last Name first?

You can't on the device itself. You might be able to re-order them by changing the Artists field for each track/album with the last name of the artists listed first.

To do this, right->click on an album/track in iTunes and choose Get Info. When the window comes up, select the Info tab.

So, let's say you wanted to edit a John Denver album. In the Artists field, rename it, so it says Denver, John or similar. Then sync the updated changes to your device.

B-rock