Two choices...
since this question doesnt clearly state whether they are heading in opposite directions towards each other or away from each other or in the same direction, its difficult to decide.
Since it isnt stated that they are going in opposite directions, and that is usually rare/less common in the speed problems
we have ption 1 in which they head towards each other...as Antmavel chose...this is usually what you see alot of on the
GMAT speed/distance/time problems.
Using the same process as Antmavel i too got 70 but now considering that NOTHING IS SAID about direction
the first inclination is that they are 120 miles apart heading in the same direction.
According to that hypothesis;
in an hour one moves 40 miles and the other 30, initial distance gets dropped to 110 miles, so every hour on the hour one car closes the gap by 10 miles.
From the meeting point the distance between them an hour before would be 10 miles (by the same logic)
since this is not a choice, they probably are going towards each other, either the author of the quesiton missed something or the question is badly phrased