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

Production		Costs
1.	Completed and transferred out 10,080 units.	Beginning work in process	$0
2.	2,520 units in ending working in process are 60% complete as to conversion costs and 100% complete as to materials at July 31.	Direct materials	63,000
		Direct labor	13,608
		Manufacturing overhead	15,372

a) Determine the equivalent units of production for (1) materials and (2) conversion costs.

b) Compute unit costs.

c) Prepare a cost reconciliation schedule.