2. Develop a variance report based on the format and template provided by Houzit.3. Complete a cash flow analysis on the average length of time it takes Houzit to collect fundsfrom its debtors to determine the trend based on the financial reports in Assessment Task 1.4. Examine the sales budget, profit budget, cash flow budget and debtor ageing summary toidentify the following in a report:a. Issues:i. Identify, describe and prioritise significant issues that are evidenced in theprovided case study information and describe reasons or causes of these issues.Include in this issues of financial probity that you have identified or consideredwhen monitoring these budgets.b. Variances:i. Complete an actual-to-budget variance report, using the template provided in thecase study.ii. Identify variances by comparing actual results with the established budget, andprovide reasons why these variances may have occurred.c. Performance:i. Compare financial performance of the organisation (according to financialinformation provided) to industry benchmarks for this organisation in line with theretail trade sector.ii. Respond to the performance questions provided by the CEO, as provided by theboard of Houzit,iii. Determine a trend of the average debtor days and the impact to the cash flow ofHouzit.d. Recommendations:i. Outline your recommendations for ongoing financial viability for the organisation,based on your assessment of the issues, reasons for variances and organisationalperformance you have identified (Steps 13).