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SQL 2008 transactional replication

I'm new to transactional replication. Server A is a production database. Server B is the server that I want to have the subscribers on. I do not want to do anything that will cause performance issues to server A.  I only have 2 servers adn I will not be monitoring. I know I put the Publisher on A and the subscriber on B but can I put the Distributer on B as well? And then to I put the distribution agent on B as well OR should I put the Dristributer on A and then run each agent at the subscriber (pull)??? What is the best practice?
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TempDBA
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I think the publisher doesn’t care about the exact location of the database files of  subscriber
for more information go through the below article

http://www.sql-server-performance.com/2010/transactional-replication-2008-r2/