It is because water has a higher heat capacity as compared to the heat capacity of oil.
The amount of heat that must be applied to an object in order to cause a unit change in temperature is known as the heat capacity or thermal capacity of that object. Heat capacity is measured in joules per kelvin (J/K), the SI unit.
Heat capacity is an example of extensive property. A physical quantity which is an extensive property has a value that is proportional to the size of the system it describes or the amount of matter present in the system. C stands for the heat capacity of an object.
Because water has a higher specific capacity than oil and must expend more energy to cool down, it does so more slowly when two equal masses of hot water and oil are allowed to cool.
Therefore, When the equal mass of hot water and oil at the same temperature is allowed to cool water cools slower than the oil.
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