Concept:
Lac insect produces lac resin. Its life cycle includes egg, nymph, settlement, secretion of lac, covering of twigs, and fertilization.
Step 1: Egg.
The life cycle begins with eggs.
\[
\text{First step}=C
\]
Step 2: Nymph.
Eggs hatch into nymphs, which move and settle on host twigs.
\[
\text{Second step}=E
\]
Step 3: Lac secretion.
After settling, nymphs start secreting lac resin.
\[
\text{Third step}=A
\]
Step 4: Covering of twigs.
The secreted lac forms a covering on twigs.
\[
\text{Fourth step}=D
\]
Step 5: Male fertilizes the female.
Later, male fertilizes the female and the cycle continues.
\[
\text{Fifth step}=B
\]
Thus, the correct sequence is:
\[
C,E,A,D,B
\]
\[
\therefore \text{Correct Answer is (C)}
\]