How to add a jar in External Libraries in Android Studio?

A late answer, although I thought of giving an in-depth answer to this question. This method is suitable for Android Studio 1.0.0 and above.

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STEPS

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1. First switch your folder structure from Android to Project.

2. Now search for the libs folder inside the app folder.

3. Once you have pasted the .jar file inside libs folder. Right click on the jar file and at end click on Add as library. This will take care of adding compile files(‘libs/library_name.jar’) in build.gradle [You don’t have to manually enter this in your build file].

Now you can start using the library in your project.