Hello Reddy,
Initially I started with KDS, due to some issues I shifted to code warrior, however the code remains same.
This is the example to blink the LED by using embedded components, hope it will help you
1. I am using two embedded components

Configuration for BitIO is (I am using TRK-KEA 128 evaluation board)

configuration for TimerInt is

dobule click on event.c

Expand BitIO

pull NegVal into event.c

Generate processor expert code
Build it
Dump the code using debug mode onto your evaluation board
Run it
LED should start blinking
If it doesn't, post your query by specifying the problem