The sale of a fixed asset costing ₹200000 for ₹250000 makes what change in the proprietary ratio (0.6:1) of the company?

Increase

The correct answer is option 1 i.e. increase.

Proprietary Ratio = Shareholders’, Funds/Capital employed (or net assets)
 
Let us assume shareholder's funds are of ₹60000 and assets are ₹100000
Sale of fixed assets increase profit with ₹50000 which increased shareholders funds by ₹50000 and total assets also increased by ₹50000 because cash increased by ₹50000(250000-200000)
So, Proprietary Ratio = 110000/150000
                                   = 0.73:1