With A, ch 46.
Work 3 rows sc – 45 sts.
Work 3 rows B.
Change to C and work 3 rows.
Repeat last 9 rows. Fasten off.
Sew back seam, tucking carried yarn inside the seam. Divide top edge into 3 equal sections; bring centers of 3 sections together at top; and tack in place. Close 3 top seams with overcast st.
Tassel For each corner, work as follows: Cut a 12" strand of each color. Thread all 3 through hat at same point; fold strands in half, matching ends; and tie in overhand knot. Divide strands into 3 groups by color and braid to 1" from end. Tie in overhand knot, trim ends.
With A, ch 16. Work first 9 rows as for Hat, ending with C.
Enlarge last loop on hook, remove hook, turn work. Reach in with hook 1 st from the edge where A was left off (6 rows below) and pull up A loop. Continue to slip st along edge (1 st in) to enlarged C loop. With A loop still on hook, insert hook into C loop, pull C yarn to tighten loop. With A, yo and pull through both loops on hook. Work 3 rows in sc. Continue to work stripes of 3 rows sc, dropping and picking up colors as above. Complete 42 stripes. Cut yarns, weave in ends.