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.out file not found when trying to debug source file

I am having trouble gettting my msp430 launchpad to work. I am new to this and am not sure what i've done wrong. I have loaded up the code composer studio and connected my launchpad device. I am following the tutorial and have gotten to the point where i've copy and pasted some code into the sourcefile. When i press the debug button it never seems to reach the point where it should. It throws an error - exception during launch, reason: source file does not exist  then it shows .out file is not found in the debug folder. Am i mising something?