500T NC Upgrade Nav Problem

I’m currently upgrading to 500T Near Coastal, and self-studying for the whole thing. Did great on all tests except the Nav Problems, which had 4 of the same style of problem…the only thing I couldn’t understand. The question is along the lines of: “On 10 August your vessel’s 0426 zone time DR position is LAT 52 07’N, LONG 142 16’E, when an amplitude of the sun is observed. The Sun’s lower limb is about 20 minutes of arc above the visible horizon and bears 074.5 per standard compass. Variation in the area is 12W. The chronometer reads 07h 24m 19s and is 02m 34s fast. Which of the following is the deviation of the standard compass? a)0.0 b)1.3W c)1.3E d)2.3W”

I feel like I’ve exhausted all my options for looking this up myself and trying to learn it, but I can’t find anything that explains the answer well enough to figure out how to arrive at it. Can anyone out there explain it in enough detail to hold my hand through the process?