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Labor variance analysis Budgeted rooms sold: 5,000. Budgeted hourly pay rate for room attendants: $4.50. Work standard: clean 2 rooms per labor hour. Actual rooms
Labor variance analysis
Budgeted rooms sold: 5,000. Budgeted hourly pay rate for room attendants: $4.50. Work standard: clean 2 rooms per labor hour. Actual rooms sold: 5,400. Actual average hourly pay rate: $4.60. Actual hours attendants worked: 2,600
1. Calculate the total labor cost variance
2. Calculate the volume variance, indicating whether it is favorable or unfavorable
3. Calculate the rate variance, indicating whether it is favorable or unfavorable
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