Unfortunately, I'm probably not the right person to be answering this question since I'm not a chemical engineer, and I can't say that I've ever solved a mass balance equation in my life. ;)
I can take a stab at it, but I make no guarantees that I'm right.
First, I have some assumptions: From the wording of the problem, it sounds like there's only one output from the system. This is contrary to what little I thought I knew about continuous distillation; I thought there would be two outputs (the top, which is more highly concentrated with the more volatile butane; and the bottom, which is has a higher concentration of the less volatile propane). Anyway, if that was the case, there's clearly not enough information given to answer the question. So it must be like I said; there's only one output.
I'm also assuming that when they say the "volume" in the still is constant, they really mean the molar volume of 10 kmol remains the same. Otherwise, if molar volume of the mixture had to change as the concentration changed to maintain constant physical volume, that could make this problem very complicated indeed!
Okay, now on to my version of the solution:
I think it's much easier to answer the second part first. Since there's only one input and one output, and the volume in the still remains constant, the flow rate in must be equal to the flow rate out. Therefore, once we've reached equilibrium that means the concentration in must be the same as the concentration out. Thus we can say:
x_f=\bar{x_d}
x_f=\frac{\bar{x_s}}{1+\bar{x_s}}
0.3=\frac{\bar{x_s}}{1+\bar{x_s}}
\bar{x_s}=\frac{0.3}{0.7}\approx 0.42
where I put a bar over xs and xd to mean that I'm talking about the equilibrium values.
As for the actual dynamic equation, I guess we should write out the material balance:
\text{input = output + accumulation}
So over an infinitesimally small time period, dt, we have:
\text{input}=R_f x_f dt = 5(0.3)dt=1.5dt
\text{output}=R_d x_d dt =5\(\frac{x_s}{1+x_s}\)dt
\text{accumulation = input - output} = 5\(0.3-\frac{x_s}{1+x_s}\)dt
where R represents the material flow rate. We can now calculate the change in concentration dxs in the still:
dx_s=\frac{\text{accumulation}}{\text{total molar volume}}=\frac{\(5\(0.3-\frac{x_s}{1+x_s}\)dt\)}{10}=0.5\(0.3-\frac{x_s}{1+x_s}\)dt
Finally, dividing both sides by dt, we should be able to get the differential equation for xs:
\frac{dx_s(t)}{dt}=0.15-0.5\(\frac{x_s(t)}{1+x_s(t)}\)
Unfortunately, I don't have a clue how to solve that differential equation. :(