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letamp;#39;s look now at contract modifications this can be a relatively tricky part of the literature just because depending upon the nature of the modification there are three different potential accounting outcomes in two instances the modification will be accounted for prospectively and once is a termination of the original agreement and another one just as if itamp;#39;s a complete separate contract and in a third instance the modification be accounted for with the cumulative catch-up adjustment so as always with these videos what you see on your screen there is a solution we built at .taskglobal.com weamp;#39;ll be using this to walk us through what the requirements are of six or six well as i press 15 as it relates to contract modifications so the first question is being asked does the contract modify the scope or price or both of the existing agreement a modification is defined very simply as itamp;#39;s a modification of or a change to either the scope or price or both of
