Concept:
Variance is given by:
\[
\sigma^2=\frac{\sum f x^2}{N}-\left(\frac{\sum f x}{N}\right)^2
\]
Step 1: Compute mean and second moment.
After substituting values from the given distribution:
\[
\bar{x}=4,\quad \frac{\sum fx^2}{N}=18
\]
Step 2: Compute variance.
\[
\sigma^2=18-16=2
\]
\[
\boxed{(B)}
\]