When you place a small piece of iron at 75 °C into a large container of water at 25 °C, heat transfer will occur between the iron and the water. The iron, being at a higher temperature, will lose heat to the water, causing its temperature to decrease. At the same time, the water, being at a lower temperature, will gain heat from the iron, causing its temperature to increase.
Over time, the process will continue until thermal equilibrium is reached, meaning both the iron and the water will eventually stabilize at a common temperature. However, because the iron is much smaller in volume compared to the water, the temperature of the water will change only slightly, while the temperature of the iron will drop significantly.
In summary, the best explanation is that the iron will cool down while the water will warm up until they reach a common temperature.