Correct option is (b) (Mz/Mdz) + (My/Mdy) ≤ 1
To explain I would say: The local capacity of the section is checked by interaction equation. It is given by (Mz/Mdz) + (My/Mdy) ≤ 1 , where Mdz and Mdy are design moment capacity about Z and Y axes, respectively, and Mz and My are factored bending moments about Z and Y axes, respectively.