James Company uses process costing to track its costs in two sequential production departments: Forming and Finishing. The following information is provided regarding the Forming Department:

Forming Department

Month Ended July 31

Unit information

Beginning work in process, July 1 --- 6,000

Started into production during July --- 18,000

Completed and transferred to Finished Department during July --- 16,000

Ending work in process, July 31 (30% complete a to direct materials and 40% complete a to conversion costs) --- 8,000

Cost information:

Beginning work in process as of July 1 (consists of $5,000 of direct materials costs and $9,500 of conversion costs) --- $14,500

Direct materials used in July --- $27,936

Conversion costs incurred in July --- $34,350

Required:

(a) Calculate the equivalent units for direct materials. (Show your work)

(b) Calculate the cost per equivalent unit for direct materials. (Show your work)