In fact, entropy of an isolated system never decreases (2nd law of thermodynamics), unless some external energy is provided in order to "restore" order in the system and decrease its entropy.
(note that when external energy is added to the system, it is no longer "isolated").
*This is only true if the question is referring to a certain system within the universe. If we are considering the universe itself as the system, then this option is no longer correct, because no external energy can be provided to the universe, and since the universe is an isolated system, its entropy can never decrease. If we are considering the universe itself as the system, none of the options is true.
No it shouldn't, a hypothesis doesn't need to be correct but must have an idea for why x variable effects y variable and have good reasoning. In the conclusion you should state if it's correct or not and explain why it's correct/incorrect and what answer you've determined from data.
B because it will not be any thing else