Gradle DSL method not found: 'compile()'

As the note of your project's build.gradle file suggests:

// NOTE: Do not place your application dependencies here; they belong
// in the individual module build.gradle files

Remove the 2 compile statements in that gradle file:

compile 'com.android.support:appcompat-v7:20.+'
compile 'com.google.android.gms:play-services:6.5.+'

And then make your other (module's) build.gradle dependencies look like this:

dependencies {
    compile fileTree(dir: 'libs', include: ['*.jar'])
    compile 'com.android.support:appcompat-v7:21.0.3'
    compile 'com.google.android.gms:play-services:6.5.+'
}

I am using Android studio based on IntelliJ Idea and I have changed Settings on when and how to wrap code. Also I had 'reformat automatically' options which lead to formatting Gradle files randomly. So it lead to something like this:

    compile 'de.greenrobot:eventbus:2.4.0' compile 'com.jakewharton:butterknife:7.0.1'

Gradle then fails to find compile() for the second compile. As you only allowed to write one dependency per line.