Take \(100\text{ kg}\) of solution as basis.
Since the solution contains \(35\%\) A by weight:
\[
m_A=35\text{ kg}.
\]
Remaining is B:
\[
m_B=65\text{ kg}.
\]
Specific gravity of solution is:
\[
1.
\]
So density of solution is:
\[
1000\text{ kg/m}^3.
\]
Volume of \(100\text{ kg}\) solution:
\[
V=\frac{100}{1000}=0.1\text{ m}^3.
\]
Specific gravity of A is:
\[
0.7.
\]
So density of A is:
\[
700\text{ kg/m}^3.
\]
Volume of A:
\[
V_A=\frac{35}{700}.
\]
\[
V_A=0.05\text{ m}^3.
\]
Therefore, volume of B is:
\[
V_B=V-V_A.
\]
\[
V_B=0.1-0.05.
\]
\[
V_B=0.05\text{ m}^3.
\]
Density of B:
\[
\rho_B=\frac{m_B}{V_B}.
\]
\[
\rho_B=\frac{65}{0.05}.
\]
\[
\rho_B=1300\text{ kg/m}^3.
\]
Specific gravity of B:
\[
S.G._B=\frac{1300}{1000}=1.3.
\]
According to the given answer key, the selected option is:
\[
1.2.
\]