I'm really not sure if "Norton Ghost" is the right software to be doing this job. Never used it, so that's pretty understandable.
Both Seagate and WD have freely available software to do what you're trying to do.
I never try to image drives in the first place, and I never own a computer with less than 2 HDDs.
With a new build, I install and update Windows, then put in my software. Everything is installed clean. then whatever data, (photos, movies, whatever), I have to move, I put the drive that it's on in the new computer and simply copy and paste it to the new drive. This is how I deal with "volume" drives, which is basically what you're trying to make out of the 40GB HDD.
So, yes, it does take longer this way, but it always works. The only hitch is with programs that require activation, some software may no be reactivated on the new machine. I have none, only serial number software, so it's easy for me to say this.
If drive images were to be made, it would have been much more advantageous to have them only be of the OS and software, rather than the whole drive, which as I said the data files can be simply copied and pasted afterwords.
There is the possibility that you can go into the BIOS of the computer and set the "E:/" drive to be first in the boot order, and if the image is correctly done, the machine will boot from that drive.
Try and calm down, and tell us if you cant reinstall any of your software, or you need help with the BIOS settings.