Final answer:
In the context of accounting for a business unit, the two events that trigger the creation of encumbrance journals are usually the approval of the requisition and its completion. Events like rejection or submission for approval alone typically do not create such entries.
Step-by-step explanation:
When troubleshooting encumbrance entries in a business unit, particularly when dealing with the create accounting program, it's vital to understand that specific events trigger the creation of encumbrance journals. The two events you're referring to are likely connected with the procurement process in an enterprise resource planning (ERP) system. Usually, these events include:
- Approval of the requisition: This occurs when the requisition is successfully approved in the system. It results in the generation of encumbrance accounting entries to reserve funds within the financial system.
- Requisition completion: Upon completion or finalization of a requisition in the system, encumbrance entries are often created to reflect the financial commitment.
Typically, events like a requisition being rejected by a buyer or submitting a requisition for approval wouldn't trigger encumbrance journal entries, as they do not represent a formal financial commitment.