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Hollow stem is characterized by the disintegration of pith leaving the central space empty which is otherwise occupied by pith. The disintegration of pith is caused by rapid elongation and radial expansion of growing stem. Translocation of organic nutrient and water is the function of phloem and xylem respectively and hence, the disintegration of pith does not affect these functions. Pith serves to store and transport the nutrient while the hollow stem contains water, storage of food is most affected in hollow stem. 
Thus, the correct answer is option C.