Correct option is D
Given:
• Seven boxes (A, B, C, D, I, J, and K) are kept one over the other.
• Only two boxes are kept between A and C.
• Only B is kept above K.
• No box is kept below C.
• J is kept at some place below D but at some place above I.
From the given information, the arrangement will be.
1. Number the positions 1 to 7 from bottom to top (7 being the top-most position and 1 being the bottom-most position).
2. "No box is kept below C" means C is placed at the 1st position (the bottom-most position).
3. "Only two boxes are kept between A and C". Counting upwards from C (1st position), A must occupy the 4th position ($1 + 2 + 1 = 4$).
4. "Only B is kept above K" means K is at the 6th position and B is at the 7th position (the top-most position).
5. Now, the remaining vacant positions are 5th, 3rd, and 2nd.
6. Since J is kept below D and above I ($D > J > I$), D must be at the 5th position, J at the 3rd position, and I at the 2nd position.
The final vertical arrangement from top to bottom is:

Counting third above I (2nd position): 1st above is J (3rd), 2nd above is A (4th), and 3rd above is D (5th position).
Final Answer Statement:
D is kept third above I.
Conclusion:
Thus, correct option is (D).