The precautions which should be taken -
Air tight set up - an air tight set up is required, so that the CO2 produced during respiration does not escape out
Delivery tube dips in water in beaker - the delivery tube needs to touch the water, so that the water can rise in the tube when partial vacuum is created in the flask.
Flask has seeds which have just germinated - germinated seeds will produce CO2 during the experiment which is an important requirement for this experiment.
Hence, the correct answer is option 1.