Hello!
The correct answer to this question is D: conflict.
The character speaking appears to be at a disagreement with another person. This is an example of a conflict between two people.
Option A cannot be the answer because the character is not resolving any problem. He seems to be having a current problem and has not come to a conclusion yet.
Option B is also incorrect. The falling action is when all problems are explained and solved--often right before the end of a story/play.
Lastly, exposition also cannot be the correct answer. Exposition is simply the revealing of background information (past events, conflicts, etc.). The passage above does not express any sort of background information.
I hope this helps you! Feel free to comment or PM me if you have any additional questions!