Pension Plan Disclosures Spelling Entertainment Group (SEI), specializing in film and video entertainment, reported the following liabilities on its 1993 balance sheet: • Accounts payable, accrued expenses, and other liabilities • Accrued participation expense • Deferred revenue • Bank and other debts • Income taxes • Net liabilities related to discontinued operations Required a. Describe each of these liabilities and the economic events from which they were derived. b. Identify whether any of these liabilities pertain to pension and/or postretirement expenses. Why might a company not have such liabilities? SEI also reported the following: Benefit Plans: The Company maintained two defined contribution employee retirement plans that covered substantially all nonunion employees of SEI. Contributions by SEI were discretionary or set by formula . . . Expenses under the various employee retirement plans were $463,000,$586,000,and $355,000 for the years ended . . . A significant number of the Company’s production employees are covered by union-sponsored, collectively bargained, multiemployer pension plans. The Company contributed approximately $4,259,000, $3,714,000,and $1,383,000 for the years ended . . .The Company does not have any postretirement or postemployment benefits. Required c. Explain Spelling’s various pension plans. d. Why doesn’t Spelling report any pension or postretirement liabilities on its balance sheet? Explain why this might or might not be justified.