Hi I have just updated to the latest version of AS v1.00 release.
However when trying to run newly created project i get this error:
Error:Execution failed f
It has amazingly worked for me. My mistake was that I set the path to
C:\Program Files\Java\jdk1.7.0_75\bin
but after reading @committeandroidere I changed my path to
%SystemRoot%\system32;C:\Program Files\Java\jdk1.7.0_75\bin
and it worked.