Ravi Yadav,
The Errata of the function is:
public static <E extends Number> List<E> process(List<E> nums)
Answer C has: ArrayList<Number> input = null;
List<Integer> = null;
So the types involved in trying to compile line C are:
List<Integer> = process(ArrayList<Number>
;
You can implicitly get a List from an ArrayList, so that's fine.
But you can't get an Integer from a Number without some form of explicit conversion.