It is extremely important to remember that Fusion will draw it's assets from where ever you designated them to come from, whether they came from the root of your "C" drive or from within a nested folder structure on a particular zip disk, Fusion will ultimately record asset locations into it's data base and will always look in these established locations for the needed assets each time you publish the site.
If for some reason these asset locations are changed you will then have to go through the process of reintroducing those assets back into the Fusion Data Base. Otherwise, on publish, Fusion will error on locating the needed assets. Therefore, it is a good policy to keep ALL site assets within the Fusion Site assets folder.
POSITION XARA ASSETS: Okay, Using Windows Explorer, move the desk top folder called "Xara Assets site 101" that contain your newly generated Xara files into your Fusion Site "Assets" folder. See Figure 1.0