Incidentally, the AVD (emulator) can be quite slow. I avoid using it, and prefer to develop with an attached real device. It's a lot quicker.
Although the emulator can be useful to test with older versions of the SDK.
Anyway, sorry we can't be much help on your issues, it really does sound like the AS installation is screwed.
I appreciate your support very much and for sure will try to follow your advices!
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