Juanita Knits Blankets as a Hobby and Occasionally Sells Them

Juanita knits blankets as a hobby and occasionally sells them.In the current year,she earns $5,000 from her blanket sales and incurs expenses of $600.On her tax return,she should

A) report $5,000 of hobby income and deduct $600 of hobby expenses from AGI.
B) report $5,000 of hobby income and deduct $600 of hobby expenses for AGI.
C) report $5,000 of hobby income,but she will not be able to take any deductions.
D) report no hobby income and no hobby deductions.