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Bubba Gumps Meals prepares meals for daytime fishing excursion boats operating in the Gulf of Mexico. One of Bubba Gumps mo
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Answer #1

Standard hours allowed = 6500*0.50

= 3250

Standard cost allowed = 3250*11

= 35750

Labor spending variance = 35750-36800

= 1050 U

Labor Rate Variance = (SR-AR) *AH = (11-11.50)*3200

= 1600 U

Labor Efficiency variance = (SH-AH) *SR = (3250-3200)*11

= 550 F

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