By Sentence structures, Relative pronouns

(A knock on the door) Mr. Ko: Who is it? (No answers. Mr. Ko opens the door and finds no one at the door, so he closes it. A little later, he hears another knock on the door.) Mr. Ko: Who is it? (Again, he opens the door and finds no one out there. A minute later he hears yet another...

1-- 'that' is the restrictive relative pronoun, not a demonstrative. It heads the adverbial clause modifying the verb 'dig' (='understand). 2-- I suppose so; the original has some structural problems-- you have miscopied or the original is wrong. 3-- 'them' refers to funerals. 'Price' is the...