What do organisms,ranging from prokaryotes to complex eukaryotes,exhibit in response to environmental cues?

Which of the following statements is incorrect regarding reproduction?

Which of the following statements are correct regarding the characteristics of living organisms?
$I$. $DNA$ molecules are inherited by organisms produced by parents.
$II$. Organisms adapt to their habitat by considering environmental factors.
$III$. Complex energy transformations in metabolism are not essential for living organisms.
$IV$. Morphogenesis occurs during the process of development.

There are several ways of looking at living things. One way,which is at the molecular and analytical level with regard to life,could be described as:

Assertion: Living organisms are regarded as closed systems.
Reason: Energy of living organisms cannot be lost or gained from the external environment.

What is the correct hierarchy of biological organization?