Need some thoughts. My sister in law had a new shower surround installed. When they removed the old surround they only cut about two inches out of the drywall around the edges to remove and install the surround. Very neat job actually.

But the issue is the new surround for what ever reason was shimmed here and there leaving not only a Twp inch gap but also various high and low spots where the lip of the surround is flush with the existing dry way or just below it or a full 3/8's below it.

This means I cannot just cut a thin strip of dry wall, screw it in, tape and compound.

I know the right way to fix this is to take the entire wall around the tub surround down and re-rock it shimming as needed to make it all even. She doesn't want to do that due to time and $$$ 

Any ideas on how I can fill the gaps of various thickness and then compound to a nice finish?

I thought of using the metal mesh used for large hole repairs which works well. However considering I need to go the full circumference of the surround that is not a practical option.

Any suggestions would be really appreciated.

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Tile it.

It is what I first thought too.

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There are four corners to deal with.  Adds to the complexity.

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I'll see if I still have them. But imagine your shower and tub surround. Where the top of the surround meets the wall. There is a two inch gap all around the surround and wall and that gap is of various thicknesses.

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Yes I am sure it is normal for this type of job.  When I did it, I removed all the dry wall so I didn't have an issue with the various thicknesses.  So, what I am trying to find is a solution to patch the gap without having to pull all the drywall down.  I will see if I can post a pic, but it is not going to help understand that at one point the drywall gap is 2" wide between the shower lip and the existing dry wall x 3/8" of an inch deep and then a few inches up the wall it is 2" x 1/4" and then a few more inches it is flush even.

Fixing the 2" gap between the shower lip and the existing drywall is easy, the various thickness is the challenge.

A two inch gap is nothing, so...
The best and cheapest way to repair is (as you stated) spackle it with metal mesh tape. Three coats sanded smooth, flush with drywall.
Go to your local Home Depot or Lowe's and buy enough tile, 4x4 should be a perfect size, and tile around the new surround.
If she's not worried about the color you can probably get enough tile real cheap on close out, etc..
If she wants a certain color, a standard 4x4 wall tile in the amount needed, will not be very expensive even at regular price.

If I understand, the edge of the surround is butting up and level with the existing drywall.  Could you put on a new layer of drywall, lapping over the surround edge and covering the existing sheet rock?

Yep it is an option except the back wall runs from the shower across the entire bathroom so that is an issue.

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