[Apologies for the long question. It's not as complicated as it looks.]
I have a 160GB iPod Classic which I manage with the latest iTunes via Windows XP. I have ~10000 music tracks and many podcasts on the iPod. I previously created a smart playlist which included all tracks with a play-count of 0. I would then set the iPod to shuffle Songs and select this playlist. If I returned to it later, songs which I had listened too would not be on the playlist as it would update on the iPod, even without syncing back to iTunes. This worked well and I have now listened to all ~10000 tracks.
I would now like to listen to my music differently: rather than listening to all music tracks in a completely random order, I would now like to listen to complete albums, with the tracks in order. I know that I use shuffle "Album" for this.
The Potential Problem
However, it is likely that I will not always be able to listen to a complete album before I have to stop listening, or would rather listen to a podcast after a while, for example. This would mean that over time I would always end up listening to the first tracks of an album more than the later tracks, as each time I used shuffle "Album" I'd get a new album and would start listening from the beginning of that album again.
The Proposed Solution
To work around this, I've tried the following: I created another smart playlist which contains tracks which have a play-count of less than 2. This, at present, obviously contains only tracks with a play-count of 1, which is most of my music. I set shuffle to "Album" and then select this playlist. As I listen to tracks, their play-count increases to 2, so they fall off the list in future. When I return to the playlist the next day, for example, and the iPod selects a track/album, I presume it will then play only from the first track of that album in the playlist?
For example, if I have listened to the first 5 tracks of an album and then stop, these 5 tracks will be removed from the smart playlist as their play-count will be 2. When I return to the playlist with shuffle "Album", should the iPod select one of the remaining tracks (or the album itself; I don't know how it "selects"), will it start playing track 6 of that album onwards?