GG Designs' Chubby Wubby Numbers. The cow is from Designs by JuJu's Barnyard Buddies set, and I added his name with the Clay font from 8 Claws and a Paw.
Instead I did creative cutting in the hoop, since I knew the red fabric on the bottom would show through the white fabric on top. I ran the placement, tackdown, and modified zigzag stitches for the "3". Then I ran the placement stitch for the cow and removed my hoop from the machine.
Here's a case in point from two past projects -- Without trimming away overlapped fabric: