In $60$ minutes the minute hand completes $360^o$ where as the hour hand travels only $360/12$ degrees. So,
$60M \implies \dfrac{360}{12} = 30^o $
$9:40$ means $9\times 60 + 40 = 580M$
$580M \implies 30 \times 580/60 = 290^o.$
Now, in $40$ minutes the minute hand would have completed $360 \times 40 /60 = 240^o.$
So, angle of separation between minute and hour hands $ = 290-240 = 50^o.$
So, the correct answer is $(B).$