【General guidance】The answer provided below has been developed in a clear step by step manner.Step1/2a) (i) To calculate the lump-sum amount that Carter needs to deposit in Account A to withdraw $120,000 annually for 30 years starting one year after his retirement at 60, we can use the present value formula:PV = PMT x ((1 - (1 + r)^-n) / r)where PV is the present value or lump-sum amount, PMT is the annual payment, r is the interest rate, and n is the number of periods.In this case, PMT = $120,000, r = 5%, and n = 30.PV = $120,000 x ((1 - (1 + 0.05)^-30) / 0.05) = $1,746,717.55.Therefore, Carter will need to deposit approximately $1,746,718 in Account A to meet his retirement expenses.(ii) If Account A starts paying interest on the day of his retirement, we need to calculate the present value of an annuity due, which means that the payments are made at the beginning of each period instead of the end. The formula for the present value of an annuity due is:PV = PMT x ((1 - (1 + r)^-n) / r) x (1 + r)where PV is the present value, PMT is the payment, r is the interest rate, n is the number of periods.In this case, PMT = $120,000, r = 5%, and n = 30.PV = $120,000 x ((1 - (1 + 0.05)^-30) / 0.05) = $1,746,717.55Therefore, Carter will need ... See the full answer