getting error 2032 when building Employee Directory tutorial for burrito

I am new to flex development. i am trying to work thru the tutorial Employee Directory.

I am using Flex Burrito 4.5 on Windows 7. When i try to run the application, i get the following message:

RPC Fault faultString="HTTP request error" faultCode="Server.Error.Request" faultDetail="Error: [IOErrorEvent type="ioError" bubbles=false cancelable=false eventPhase=2 text="Error #2032: Stream Error. URL: app:/assets/employees.xml" errorID=2032]. URL: ../assets/employees.xml"]
    at mx.rpc::AbstractInvoker/http://www.adobe.com/2006/flex/mx/internal::faultHandler()[E:\dev\hero_private_beta\framew orks\projects\rpc\src\mx\rpc\AbstractInvoker.as:345]
    at mx.rpc::Responder/fault()[E:\dev\hero_private_beta\frameworks\projects\rpc\src\mx\rpc\Res ponder.as:68]
    at mx.rpc::AsyncRequest/fault()[E:\dev\hero_private_beta\frameworks\projects\rpc\src\mx\rpc\ AsyncRequest.as:113]
    at DirectHTTPMessageResponder/errorHandler()[E:\dev\hero_private_beta\frameworks\projects\rp c\src\mx\messaging\channels\DirectHTTPChannel.as:410]
    at flash.events::EventDispatcher/dispatchEventFunction()
    at flash.events::EventDispatcher/dispatchEvent()
    at flash.net::URLLoader/onComplete()

can anyone please let me know how to resolve ?

thx

Mike