Fuller distinguishes the morality of aspiration (ideals of excellence, the "Good Life") from the morality of duty (the minimum rules needed for orderly social living), so the untrue statement must be the one that mixes up these two categories.
Only the first statement misdescribes aspiration as a system of mandatory rules, which is really the hallmark of the morality of duty.
Hence, the correct answer is The morality of aspiration is based on inevitable rules for ordered social living.
Fuller's morality of duty is the floor of minimum standards without which organised social life collapses, so each option should be tested against that definition.
The only option that captures the baseline, order-preserving function of duty is the one tied to social living.
Hence, the correct answer is To conduct necessary for social living.
Both statements describe how "moralistic" thinkers, in Fuller's account, try to shift the boundary between aspiration and duty; each should be checked against the passage separately before combining them.
Since both statements independently match the passage's description of moralistic philosophy, only the option affirming both can be correct.
Hence, the correct answer is Both (I) and (II) are true.
The passage ties moral duty closely to what is "rationally discoverable" and "objective", in contrast to the morality of aspiration which rests on subjectivism, so each option should be measured against that contrast.
Since duty is defined precisely by excluding subjective preference in favour of rational, objective, fact-based judgment, subjectivity is the element that does not belong.
Hence, the correct answer is Subjectivity.
The passage describes an "invisible pointer" marking where duty ends and aspiration begins, and notes that this pointer is contested and shifts, so the nature of duty should be judged by whether that boundary is fixed or moving.
The passage's own image of a shifting pointer over contested ground best supports characterising duty as dynamic rather than fixed.
Hence, the correct answer is Dynamic.
Since morality of duty and morality of aspiration are opposites in Fuller's scheme, one of statements A and B must be false, and the other two statements about aspiration should be checked separately.
Only the claim that duty is non-obligatory conflicts with Fuller's account, since duty is precisely the obligatory floor of conduct.
Hence, the correct answer is 'Morality of duty' is non-obligatory.