Concept:
This is a passage-based “EXCEPT” question.
In such questions, three statements are true according to the passage, and one statement is false or not supported by the passage.
We need to choose the statement that is not true.
Step 1: Understand the passage idea.
Nicaraguan sign language developed naturally among deaf children.
It was not created by directly copying spoken language.
It developed from signs that children used with each other and at home.
Step 2: Check each statement.
Option (A) says the language has been created since 1979. This is supported by the passage context.
Option (C) says the language incorporates signs used by children at home. This is also supported.
Option (D) says the language was perfected by younger children. This matches the passage idea that younger children systematized it.
Option (B) says the language is based on speech and lip reading. This contradicts the passage idea because it emerged as a sign language, not from speech and lip reading.
Step 3: Select the EXCEPT option.
The false statement is:
\[
\text{The language is based on speech and lip reading.}
\]
Hence, the correct answer is:
\[
\boxed{(B)}
\]