The efficiency ($\eta$) of a heat engine is the ratio of work done (W) to the heat input ($Q_H$).
Given that it converts one-fourth of the heat input into work, the initial efficiency is $\eta_1 = \frac{W}{Q_H} = \frac{1}{4}$.
For a reversible engine (Carnot engine), the efficiency is also given by $\eta = 1 - \frac{T_{sink}}{T_{source}} = 1 - \frac{T_2}{T_1}$.
Case 1: $\eta_1 = \frac{1}{4}$.
$\frac{1}{4} = 1 - \frac{T_2}{T_1} \implies \frac{T_2}{T_1} = 1 - \frac{1}{4} = \frac{3}{4}$. (Equation 1)
Case 2: The sink temperature is reduced by 52 K, so the new sink temperature is $T_2' = T_2 - 52$. The efficiency doubles, so $\eta_2 = 2 \times \eta_1 = 2 \times \frac{1}{4} = \frac{1}{2}$.
$\frac{1}{2} = 1 - \frac{T_2'}{T_1} = 1 - \frac{T_2 - 52}{T_1}$.
$\frac{T_2 - 52}{T_1} = 1 - \frac{1}{2} = \frac{1}{2}$.
$T_2 - 52 = \frac{T_1}{2}$. (Equation 2)
From Equation 1, we have $T_2 = \frac{3}{4}T_1$. Substitute this into Equation 2:
$\frac{3}{4}T_1 - 52 = \frac{1}{2}T_1$.
$\frac{3}{4}T_1 - \frac{2}{4}T_1 = 52$.
$\frac{1}{4}T_1 = 52$.
$T_1 = 52 \times 4 = 208$ K.
The temperature of the source is 208 K.