A Department Adds Materials at the Beginning of the Process $\begin{array} { l c c } & \text { Materials } & \text { Conversion Costs } \\\end{array}$

A department adds materials at the beginning of the process and incurs conversion costs uniformly throughout the process. For the month of July there was no beginning work in process; 40000 units were completed and transferred out; and there were 20000 units in the ending work in process that were 40% complete. During July $120000 materials costs and $105000 conversion costs were charged to the department. The unit production costs for materials and conversion costs for July was $\begin{array} { l c c } & \text { Materials } & \text { Conversion Costs } \\\end{array}$
A) $\begin{array} { l c c } & \$ 2.00 &&&&& \$ 1.75 \\\end{array}$
B) $\begin{array} { l c c } & \$ 2.00 &&&&& \$ 2.19 \\\end{array}$
C) $\begin{array} { l c c } & \$ 2.50 &&&&& \$ 1.75 \\\end{array}$
D) $\begin{array} { l c c } & \$ 3.00 &&&&& \$ 2.66\end{array}$