The Cutting Department of Cassel Company has the following production and cost data for July.

Production				Costs
1.		Transferred out 12,600 units.		Beginning work in process		$0
2.		Started 3,400 units that are 60%		Materials		67,200
		complete as to conversion		Labor		15,468
		costs and 100% complete as		Manufacturing overhead		20,400
		to materials at July 31.

Materials are entered at the beginning of the process. Conversion costs are incurred uniformly during the process.Determine the equivalent units of production for (1) materials and (2) conversion costs.Compute unit costs, Prepare a cost reconciliation schedule.