Correct choice is (c) If the two residues differ, everything other than the backbone atoms can be copied
The best I can explain: Option “Once optimal alignment is achieved, residues in the aligned regions of the target protein can assume a similar structure as the template proteins” and “Coordinates of the corresponding residues of the template proteins can be simply copied onto the target protein” mean the same. If the two residues differ, only the backbone atoms can be copied. The side chain atoms are rebuilt in a subsequent procedure.
In backbone modeling, it is simplest to use only one template structure. The structure with the best quality and highest resolution is normally chosen if multiple options are available.