(b) iron
The unknown metal Z should be iron. Among the given choices, only iron is less reactive than magnesium. Thus, iron, (placed above copper in the reactivity series) being more reactive than copper, displaces copper from the copper sulphate solution. But, iron, (placed below magnesium in the reactivity series) being less reactive than magnesium, cannot displace magnesium from its magnesium sulphate solution.