What must the annual statement provided to a person with funds on deposit with a funeral home identify?

• A. Identifies the location and annual interest earned by the account
• B. The principal deposited and the date of each deposit
• C. The beneficiary's contact information
• D. The next scheduled service date

Answer: (A)

The essential idea is transparency about funds on deposit. The annual statement for someone with funds on deposit shows where the money is held and how much interest it earned over the year. Knowing the location tells you which financial institution or trust is custodian of the funds, and the interest earned shows the account’s yearly performance. This combination helps ensure the funds are properly safeguarded and that you can verify the earnings credited to the account. The other details—like the total principal, dates of deposits, the beneficiary’s contact information, or the next service date—aren’t what the annual statement is required to disclose for this purpose.