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Houlihan Automotive specializes in replacing the brake pads and shoes on domestic automobiles. The replacement is similar for each type of automobile. Each replacement takes

Houlihan Automotive specializes in replacing the brake pads and shoes on domestic automobiles. The replacement is similar for each type of automobile. Each replacement takes one labor hour, 0.75 machine hours, and costs $55 in direct materials. Houlihan charges customers a flat fee of $120. Which cost system should Houlihan use and why? The process cost system because the service Houlihan provides is repetitive and routine. The process cost system because the service Houlihan provides always costs the customers the same amount of money. The job order cost system because the service Houlihan provides represents an individual job. The job order cost system because the service Houlihan provides cannot be performed continuously

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