This is how I solved it. I hope it's right and hope there is an easier way to solve it.
(1) Not sufficient - Does not tell us how many books the remaining 40% has.
(2) Not sufficient - Does not tell us how many books the remaining 40% has.
(1) & (2) combined - Sufficient.
Say there are 20 students in total. Then,
35% 7 students 10 books (at least 10 books)
25% 5 students 8 books (8 or less books)
40% 8 students 9 books (9 books because 9 is between 10 and 8)
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100% 20 students
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If we list the above in an order:
# of books
1 - 8
2 - 8
3 - 8
4 - 8
5 - 8
6 - 9
7 - 9
8 - 9
9 - 9
10 - 9
11 - 9
12 - 9
13 - 9
14 - 10
15 - 10
16- 10
17- 10
18- 10
19- 10
20- 10
So, from the above list, the mdian is:
(10th + 11th) / 2 = (9+9)/2 = 9