Android studio start up issue with tools.jar not found

Error while starting Android Studio on windows with tools.jar not found

Error Message:

'tools.jar' seems to be not in Android Studio classpath.  
Please ensure JAVA_HOME points to JDK rather than JRE.

Solution:
Edit the  AndroidStudio\bin\idea.properties  file
Modify the  value of idea.dynamic.classpath  from flase to true.

So the property value should be as shown below.

idea.dynamic.classpath=true  


Note:  JAVA_HOME should be properly set.
Ex:

JAVA_HOME in System Variables  
E:\Program Files\Java\jdk1.8.0_25