Rundle Corporation makes a health beverage named Rundle that is manufactured in a two$-$stage production process. The drink is first

created in the Conversion Department where material ingredients $($natural juices, supplements, preservatives, etc.$)$ are combined. On

July $1,$ Year $2,$ the company had a sufficient quantity of partially completed beverage mix in the Conversion Department to make

$62,000$ containers of Rundle. This beginning inventory had a cost of $$25,560.$ During July, the company added ingredients necessary

to make $150,000$ containers of Rundle. The cost of these ingredients was $$345,000.$ During July, liquid mix representing $140,000$

containers of the beverage was transferred to the Finishing Department. The beverage mix is poured into containers and packaged for

shipment in the Finishing Department. Beverage that remained in the Conversion Department at the end of July was $20$ percent

complete. At the beginning of July the Finishing Department had $12,000$ containers of beverage mix. The cost of this mix was $$28,000.$

The department added $$47,200$ of manufacturing costs $($materials$,$ labor, and overhead$)$ during July. During July, $105,000$ containers of

Rundle were completed. The ending inventory for this department was $50$ percent complete at the end of July.

Required

a$.$ Prepare a Cost of Production Report for the Conversion Department for July.

b$.$ Prepare a Cost of Production Report for the Finishing Department for July.

c$.$ If $102,000$ containers of Rundle are sold in July for $$520,200,$ determine the company's gross margin for July.