Instead of building efficiency up from output power, we can work it out from the total loss fraction and check that fraction against each option.
At half load, output power \(= 0.5 \times 40 \text{ kVA} \times 0.8 = 16 \text{ kW}\).
Iron loss (constant) \(= 500\) W. Copper loss scales with the square of the load fraction: \((0.5)^2 \times 800 = 200\) W. Total loss \(= 700\) W \(= 0.7\) kW.
Input power \(= \) output \(+\) losses \(= 16 + 0.7 = 16.7\) kW.
Loss fraction of input: \(\dfrac{0.7}{16.7} \approx 0.0419\), i.e. about \(4.19\%\) of the input is lost.
Only the \(95.81\%\) option matches the loss fraction computed directly from the transformer's iron and copper losses at half load.
Therefore, the correct answer is 95.81%.