You pay your employees by the hour (of work that they "clock")
Last week you paid your employees $1,200 for 80 hours of work45 tax forms got prepared last week.
The standard time expected per tax form is 2 hours. The standard rate of pay is $20per hour.
Calculate the labor rate and efficiency variance for last week's output (including whether these variances are favorable or unfavorable)

1. What you feel could have been the root cause of each of the variances, i.e., price and quantity if you were assigned a materials scenario (#1 or #2) or rate and efficiency if you were assigned the labor scenario (#3)

2. Based on your answers to 1) above, what would you, as a manager or owner, do about it? (Be very specific)