To resize your object, select it and drag the handles
Click the lock aspect ratio button to lock the aspect ratio when resizing.
Click on the top rotate handle, and drag to rotate.
Alternatively, move your cursor slightly outside of the handle area until the cursor changes, and drag.
Hold Ctrl when rotating to constrain to 45 degree angles.
Tip: You can change the constrain angle in Utilities > Options > General > Angle Constrain
Move your mouse slightly outside of the side handles, until the cursor changes. Then click and drag.