You install xp by setting the bios to boot the cd and then do so. Install will start. You appear to be trying via dos boot disk or what is still on c: You aren't even using the right command if you were to access via boot disk. Winnt is the command to start install but again do it via the bios. I would also suggest wipe the disk and making one partiton so there are no leftovers that may cause you issues down the road.
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