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Managerial accounting SkyChefs, Inc., prepares in-flight meals for a number of major airlines. One of the company's products is grilled salmon in dill sauce with

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SkyChefs, Inc., prepares in-flight meals for a number of major airlines. One of the company's products is grilled salmon in dill sauce with baby new potatoes and spring vegetables. During the most recent week, the company prepared 6, 300 of these meals using 1, 800 direct labor-hours. The company paid these direct labor workers of $18,000 for this work, or $10.00 per hour. According to the standard cost card for this meal, it should require 0.30 direct labor-hours at a cost of $9.20 per hour. Required: 1. According to the standards, what direct labor cost should have been incurred to prepare 6, 300 meals? How much does this differ from the actual direct labor cost? (indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable and for "none" effect (i.e., zero variance).) round labor-hours per meal and labor cost per to 2 places.) Breakdown the difference computed in (1) above into a labor rate variance and a labor efficiency variance. (Indicate the effect of each variance by selecting "F" for favorable, "u" unfavorable, "None" for no effect (i.e zero variance).)

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