Yes, but the question is more focused on how it is achieved - which is "A". The "C" is the outcome.

A is not necessary correct, pharming is action of redirecting to a website controlled by the hacker. The mean to achieve that goal can be tampering with the host file of the victime computer, but it can also be DNS poisoning, or much more easier URL hijacking in a phising email

The correct answer is A. It modifies the user’s Hosts file. Pharming is a cyber attack intended to redirect a website’s traffic to another, fake site. In order to achieve this, attackers often modify the user’s Hosts file, which is used to look up hostnames of sites on the internet. By changing the Hosts file, the attacker can control which site the user ends up at when they type in a particular URL, leading them to a malicious site instead of the one they intended to visit.