The Cutting Department of Karachi Carpet Company provides the following data for January 2016. Assume that all materials are added at the beginning of the process. Work in process, January 1, 1,400 units, 75% completed $ 22,960**Direct materials (1,400 X $12.65) $17,710 Conversion (1,400 X 75% X $5.00) 5,250 $22,960 Materials added during January from Weaving Department, 58,000 units $742,400Direct labor for January 134,550Factory overhead for January 151,611Goods finished during January —(includes goods in process, January 1),56,200 unitsWork in process, January 31, 3,200 units, 30% completed —Cost of Production ReportThe Cutting Department of Karachi Carpet Company provides the following data for January 2016. Assume that all materials are added at the beginning of the process. Work in process, January 1, 1,400 units, 75% completed $ 22,960**Direct materials (1,400 X $12.65) $17,710 Conversion (1,400 X 75% X $5.00) 5,250 $22,960 Materials added during January from Weaving Department, 58,000 units $742,400Direct labor for January 134,550Factory overhead for January 151,611Goods finished during January —(includes goods in process, January 1), 56,200 unitsWork in process, January 31, 3,200 units, 30% completed —a. Prepare a cost of production report for the Cutting Department. If an amount is zero or a blank, enter in "0". For the cost per equivalent unit computations, round your answers to two decimal places. Compute and evaluate the change in the costs per equivalent unit for direct materials and conversion from the previous month (December). If required, round your answers to two decimal places.