The correct response is:
Matter cycles through all the organisms.
In this ecosystem, matter begins with acorns, which are consumed by squirrels. When foxes eat squirrels, matter is transferred to the foxes. Eventually, when both squirrels and foxes die, their bodies decompose, allowing fungi to break them down and recycle the nutrients back into the ecosystem. Thus, matter moves through acorns, squirrels, foxes, and finally to fungi.