Javascript function hoisting inside a function

In the fiddle - http://ift.tt/1C91Pfn

x();
function x() {
var a = 1;
}

The above code is given. According to hoisting rules, would the above snippet break up as "case-1" or "case-2" or something else(please refer the fiddle)

Does this hoisting hold good for a nested function also, case-z? Kindly break the case - z and also show me.