File→New Project
Fill the details in opened window
Application Name:
Name of your application and also the name of package folder.
Company Domain:
The company domain name is used to uniquely identify your app. Thus, even if two different companies create Android apps with the same name, you can still see which is which because their company domain names will be different.
Project Location:
The project location is a directory on your hard drive where you want to put all files related to this Android Studio project.
Then click next
Here we can select the target device in which we are
going to run our application.
There is also provision to choose minimum sdk
version.it means that our application will run from the selected api level.
Click next
Here we can choose the activity.
Click next
In the next window there is provisions to add
Activity name,Layout name,Title and menu Resource name.
Then click finish.

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