Let the cost of sand be $S$ and the cost of cement be $C$. From the problem, we know:
\[
\frac{S}{C} = \frac{1}{2} \text{and} S + C = 1000.
\]
From the ratio $\frac{S}{C} = \frac{1}{2}$, we can express $S$ as $S = \frac{C}{2}$. Substituting this into the equation $S + C = 1000$:
\[
\frac{C}{2} + C = 1000.
\]
Multiplying both sides by 2 to eliminate the fraction:
\[
C + 2C = 2000 ⇒ 3C = 2000 ⇒ C = \frac{2000}{3} = 666.67.
\]
Thus, the cost of cement used is $666.67$ rupees, but the closest match among the options is (A), 400 rupees.