This problem arises due to incompatible JDK version. Download and install latest JDK(currently its 8) from java official site in case you are using previous versions. Then in Android Studio go to File->Project Structure->SDK location -> JDK location and set it to 'C:\Program Files\Java\jdk1.8.0_121' (Default location of JDK). Gradle sync your project and you are all set...