The distance walkin is the circumference of the semicircle:

At a rate of 4 mi/h the woman will arrive at point C after 2.36 hours

The distance in a boat is the diameter of the lake:

At a rate of 2 mi/h the woman will arrive at point C after 3 hours

Then, she should go walking as the time to arrive at point C walking is 2.36 hours (shorter than the 3 hours in a boat)