I got suckered into the "division line throw in" red herring when I first read through the question. So my gut said "it's a division line throw in, so the answer must be true." One good thing about being a newbie is that I know I dont know anything. So I read the rule.
R9-2-6 "The thrower shall not...touch the ball in the court before it touches or is touched by another player."
Which is what happens in the question. It just so happens that the violation occurs near the division line. But by rule that is irrelevant:
Per R9-6 the penalty is "the ball becomes dead when the violation occurs" and the ball is "awareded to the opponent for a throw-in at the original throw-in spot," which, in the question, is under B's basket not the division line.
This test has actually been fun. (yeah, I know, I'm sick)
Clark