Joint Costing in a Process Costing Context —Net Realizable Value Method : Harrison Corporation produces three products: alpha, beta, and gamma. Alpha and gamma are main products, while beta is a by-product of alpha. Information on the past month's production processes are given as follows:

1 . In department I, 1 10,000 units of raw material rho are processed at a total cost of $120,000. After processing in department I. 60 percent of the units are transferred to department II, and 40 percent of the units (now unprocessed gamma) are transferred to department III.

2. In department II, the materials received from department I are processed at a total additional cost of $38,000. Seventy percent of the units become alpha and are transferred to department IV. The remaining 30 percent emerge as beta and are sold at $2.10 per unit. The additional processing costs to make beta salable are $8,100.

3. In department III, gamma is processed at an additional cost of $165,000. A normal loss of units of gamma occurs in this department. The loss is equal to 10 percent of the units of good ouput. The remaining good output is then sold for $12 per unit.

4. In department IV, alpha is processed at an additional cost of $23,660. After this processing, the alpha can be sold for $5 per unit.

Required: Prepare a schedule showing the allocation of the $120,000 joint cost between alpha and gamma, using the net realizable value approach. Revenue from sales of by- products should be credited to the manufacturing costs of the related main product (method I in the text).