During year-end closing, commitment and obligation journals roll forward to which date?

The correct answer indicates that during year-end closing, commitment and obligation journals roll forward to the first date of the next open period. This is crucial because the rolling forward of these journals ensures that any financial commitments or obligations that were incurred will be accurately reflected in the next accounting period.

By rolling forward to the first date of the next open period, the system prepares for new transactions and reporting while maintaining continuity in financial records. This practice aligns with the standard procedures for managing financial data during transitions between periods, ensuring that all financial commitments are accounted for in the upcoming reporting cycle.

The other choices do not align with the standard practices for managing commitments and obligations. The last day of the fiscal year would close the books rather than carry forward outstanding amounts. The mid-year financial review date does not have a direct association with end-of-year processes, and the start of the next quarter, while relevant, isn’t the specific date used for rolling forward commitments and obligations in the context described.

Thus, the correct option highlights an essential operational procedure within financial management during the year-end closing process, ensuring accuracy and consistency in financial reporting.