She can totally make the changes she wants to w/o the use of AAS---just as long as she is consistent with the proper training and diet, she will reach her goal. I recently competed in my first bbing competition (I'm 19 yr old female at 5'4"), started 21 weeks out at 155 lbs at around 20% bf. By the time of my competition, I weighed 135.5 lbs at about 7-8% bf. I didn't use anything but an ocassional OTC prohormone (Gaspari Novedex) and trained very hard and did a lot of carb-depleting and cardio. It's just a matter of finding what her body is responding best to and going from there (trial and error).
In terms of your header question---we all have our opinions---mine personally is: Yes. Unless she has 1)done a competition 2)reached her genetic potential and 3) plans on becoming pro, there is really no need to use AAS, especially if she only wants to lose a little bit of body fat and gain a few pounds of muscle. She is totally capable of reaching these goals through diet and training. Best of luck!
