Taxonomic hierarchy refer to

The correct option is: "Stepwise arrangement of all categories for classification of animals and plants".

Explanation:

Taxonomy is the branch of science concerned with the classification, description, identification, and naming of living organisms. In order to classify organisms systematically, taxonomists use a hierarchical framework.

A taxonomic hierarchy represents the sequence of categories in either a decreasing or increasing order from kingdom to species, or vice versa. Each level in this hierarchy is known as a taxonomic category or taxon (plural: taxa).
The standard taxonomic hierarchy consists of seven mandatory categories:
1. Kingdom
2. Phylum (for animals) or Division (for plants)
3. Class
4. Order
5. Family
6. Genus
7. Species

Since this system arranges all the different categories in a step-by-step or nested manner to facilitate the systematic classification of organisms, it is correctly described as the stepwise arrangement of all categories for the classification of animals and plants.