Energy is not something you can hold in your hand, it's just an idea. It's a number that tells us what will happen when objects interact in what we call a system
If more gravitational potential energy is lost than kinetic energy gained, the difference is energy lost to the surroundings, so it is not a closed system
Use an electric heater, voltmeter, ammeter, balance, timer, and thermometer to measure the energy input and temperature change, then calculate specific heat capacity