Which of the following is true about fiduciary-type discretely presented component units?

The correct choice emphasizes that fiduciary-type discretely presented component units are combined into the appropriate fund-type column in the financial statements. This means they are not presented separately; instead, they are integrated with similar fund types. This approach aligns with accounting standards that require component units to be reported in a way that reflects their relationship to the primary government they are associated with.

In financial reporting, component units are often related to the primary government through control or a financial benefit, leading to their inclusion in the overall reporting. By combining them with the appropriate fund-type, stakeholders can obtain a more accurate depiction of the financial position and activities of the primary government and its associated entities.

While other options reference aspects of reporting for fiduciary-type entities, they do not align with the standard practices mandated by accounting frameworks regarding the consolidation of financial data for component units. For instance, the notion that they must have their own financial statements does not correctly reflect the integration strategy, as they typically do not operate independently in terms of reporting, but rather as part of the larger entity's financial structure. Similarly, treating them as major funds is not necessary unless they meet specific criteria independent of their combined presentation.