How do I add a library project to Android Studio?

Question

How do I add a library project (such as Sherlock ABS) to Android Studio?

(Not to the old ADT Eclipse-based bundle, but to the new Android Studio.)

Answer 1

I had a different cause of the problem so for people:

repositories {
    mavenCentral()
}

change mavenCentral() to jcenter() and add

allprojects {
    repositories {
        jcenter()
    }
}