In a probability-proportional-to-size (PPS) sampling application, the sampling interval is determined to be $10,000. An account with a recorded amount of $50,000 is selected. The auditor finds a misstatement of $500 in this account. What is the projected misstatement for this item?

In PPS sampling, if the logical unit's recorded amount ($50,000) exceeds the sampling interval ($10,000), the item is fully selected (it effectively contains 5 intervals). Therefore, the projected misstatement is simply the actual misstatement found ($500). Tainting percentages are only used when the recorded amount is less than the interval.