Select your favorite Arduino board and connect the LED into PB0 (PORTB pin 0). Refer the Pinout diagram of your arduino to find the proper pin (here it is the digital 8 pin). Next you can use the usual arduino IDE to upload the AVR C codes as well. Open the Arduino IDE and delete the all the existing codes and type the following code and upload the code into arduino.
Here is a small project i have done after A/Ls free time, a fully home made remote controlled flight using Styrofoam.