The correct option is D Plants are more efficient than fungi at acquiring carbon,
Here, what follows the underlined section of the sentence gives us a hint what the correct underlined half should be. '...in the form of carbon dioxide' - what can be in the form of carbon dioxide? Carbon and not fungi. Therefore, the underlined phrase needs to end with carbon and not fungi. So the choices ending with 'fungi' are not appropriate. Now, we need a strong comparison between plants and fungi. In this context, option A should have been correct as it contains the proper comparative terms -'Plants are...' and '...than are fungi'. However, A is too elaborate and on top of it, the phrase ends with 'fungi' which is technically incorrect. B and E sound like plants are acquiring two things: carbon as well as fungi and that they [plants] are better at acquiring carbon. This is not what the sentence means to say. D lacks a verb when we drop 'are'- the subject 'plants' has no verb. Thus, option C is the correct answer. C has the proper grammar and conveys the correct meaning in the most direct way possible.