I have a moderate experience in installation but not great. Here is what is happening.
RAM - 1.25 GB, Hard drive - 40 GB, Machine became slow so I re-installed XP from the window. Once installation completed, noticed C:\ was already around ~35 GB. Installed updates including Service pack 3 and IE8, got empty space 2400 MB.
Thinking that it did NOT clearly deleted partitions, tried to reinstall and at the place where it shows partitions, pressed "D" - DELETE to delete partitions. It gave me message - "Set up is unable to perform the requested operation on selected partition. This partition contains temporary set up files that are required to complete installation."
Went to BIOS and changed the boot sequence to "Boot from CD" however it was always rebooting from hard-drive howsoever I tried and keeps giving me same error message as above. Temporarily, disabled "boot from hard drive" using enable/disable and only kept one option "Boot from CD-ROM" and then while trying to reboot it gave message - "to retry boot press F1, F2 to set up". Pressing F1, same error message, pressing F2 takes to set up but it does not go beyond this step. Again, enabled the sequence to "boot from hard-drive" and kept it as #2 it booted from hard-drive, completed installation and left the space ~2300 MB.
What to do now? What is going wrong? PLEASE HELP.