The angular momentum remains conserved when no external torque acts on the body. this gives us the relation I1ω1=I2ω2. Now if mass is mainly distributed away from the axis of rotation, the rotational inertia is high and the velocity is low. When the hands and legs are brought close to the rotational axis, the rotational inertia decreases thereby increasing the skaters angular velocity as per the conservation of angular momentum. Increase in angular velocity implies increase in the kinetic energy. Thus option A is correct.