The correct option is E II and III
Mutations, random inheritable changes in structure and number of DNA molecules in reproductive cells of organisms, generate the genetic variability among individuals of the population. The presence of limited available resources leads to competition among individuals for available resources to survive and reproduce. Natural selection acts upon genetic diversity and favors only those mutations which confer survival and/or reproductive advantage to the individuals over others. This makes option E correct as the presence of genetic variations and limited natural resources are the prerequisites for natural selection to act.