|"I imaged a new windows 8 all in one hp machine with a image of a clients xp machine"|
The Windows XP installation CD cannot repair an image installation which doesn't match the hardware - there are just too many errors under those circumstances for a repair to have any chance of being successful.
Since you already have a Windows XP installation CD, why didn't you use that to install Windows XP in the normal way instead of trying to get a mis-matched image to work?
But however you do it, there's more trouble in store (possibly). If the machine had Windows 8 pre-installed on it, there's every likelihood that there are no Windows XP drivers for it.