A retailer owes a wholesaler $600,000 due in 45 days. If the payment is 15 days late, there is a 1% penalty charge. The retailer can get a 45-day certificate of deposit (CD) earning 7% per year simple interest or a 60-day certificate earning 8% per year simple interest. Is it better to take the 45-day certificate and pay on time or to take the 60-day certificate and pay late with the penalty The 45-day certificate is better. The 60-day certificate is better. They are equivalent.