Step 1: Concept
The mean deviation of $N$ observations from their mean is given by $\text{M.D.} = \frac{\sum |x_i - \bar{x}|}{N}$.
Step 2: Meaning
There are $N = 101$ terms in the given arithmetic progression. Since the number of terms is odd, the mean is the middle term, which is the 51st term: $\bar{x} = 1 + 50d$.
Step 3: Analysis
The deviations of the terms from the mean $\bar{x} = 1+50d$ are:
\[ |x_i - \bar{x}| = \{ 50|d|, 49|d|, \dots, 1|d|, 0, 1|d|, \dots, 50|d| \} \]
Sum of deviations:
\[ \sum |x_i - \bar{x}| = 2 \cdot |d| \cdot (1 + 2 + \dots + 50) = 2|d| \cdot \frac{50 \times 51}{2} = 2550|d| \]
Mean deviation:
\[ \text{M.D.} = \frac{2550|d|}{101} = 255 \]
\[ \implies \frac{10|d|}{101} = 1 \implies |d| = \frac{101}{10} = 10.1 \]
Step 4: Conclusion
The value of the common difference $d$ is 10.1.
Final Answer: (A)