Final answer:
Nonvascular plants, or bryophytes, do not store large amounts of water due to the lack of vascular tissue. They are used decoratively and as food for small animals and insects, but are not water reserves.
Step-by-step explanation:
The question concerns the uses of nonvascular plants, also known as bryophytes, which include mosses, liverworts, and hornworts. These plants have several uses, but one of the answer choices provided is incorrect concerning their capabilities.
One of the incorrect uses mentioned is that nonvascular plants 'store large amounts of water and are a natural water reserve for the soil and for animals'. Nonvascular plants do not have the capacity to store large amounts of water due to their lack of vascular tissue, which in other plants is responsible for transporting water and nutrients. Therefore, nonvascular plants must live in moist environments because they can only absorb water over their surface and cannot draw it from deep soil.
Bryophytes are indeed used for decorative purposes in home gardens and as food for small animals and insects. However, they lack the structures that would enable them to act as a natural water reserve in the way that some vascular plants can.