Prophylactic: A preventive measure. The word comes from the Greek for an advance guard, an apt term for a measure taken to fend off a disease or another unwanted consequence. A prophylactic is a medication or a treatment designed and used to prevent a disease from occurring.
Changes in functional currency amounts that result from the measurement process are called transaction gains or losses; transaction gains and losses are included in net income. Foreign currency translation is the process of expressing a foreign entityâs functional currency financial statements in the reporting currency. Translation adjustments are included in the cumulative translation adjustment (CTA) account, which is a component of other comprehensive income.
DEFINITION of 'Currency Transaction Report - CTR'. A bank form used in the United States to help prevent money laundering. The form must be filled out by a bank representative who helps with a currency transaction of $10,000 or more. Next Up. The currency transaction report was initiated by the Bank Secrecy Act in 1970. However, not all transactions of $10,000 and more need to reported with a CTR. Recent legislation has identified certain groups known as exempt persons. There are three categories of exempt persons.