The torque \(T\) applied by the brake is given by the formula:
\[
T = F \cdot r \cdot \mu \cdot l,
\]
where:
- \(F = 1 \, \text{kN} = 1000 \, \text{N}\) is the applied force,
- \(r = 260 \, \text{mm} = 0.26 \, \text{m}\) is the radius of the drum,
- \(\mu = 0.4\) is the coefficient of friction,
- \(l = 500 \, \text{mm} = 0.5 \, \text{m}\) is the length of the lever.
Substituting the values:
\[
T = 1000 \cdot 0.26 \cdot 0.4 \cdot 0.5 = 52 \, \text{N.m}.
\]
Thus, the magnitude of the torque applied by the brake is:
\[
\boxed{199.0 \, \text{to} \, 201.0 \, \text{N.m}}.
\]