What must be included in the annual statement submitted to the board?

The annual statement submitted to the board must include a balance sheet and profit-loss statement because these documents provide a comprehensive overview of the financial status of the funeral service provider. A balance sheet reflects the company’s assets, liabilities, and equity at a specific point in time, while a profit-loss statement summarizes the revenues and expenses over a certain period, illustrating the organization’s profitability. This information is essential for the board to assess the financial health and operational effectiveness of the funeral service, ensuring transparency and accountability in the business practices.

Including solely revenue projections, a detailed employee list, or a marketing strategy would not fulfill the comprehensive financial reporting requirements established by laws governing funeral services. These elements, while potentially valuable for internal planning and operations, do not provide the board with the critical financial insights necessary for oversight responsibilities. Thus, the requirement emphasizes the importance of thorough financial documentation in maintaining regulatory compliance and fostering operational integrity within the industry.