Why is the clip art image distorted in Asset Studio?

Issue

I don't really understand why this is the case, but for some reason it is not possible to add resources with asset studio without them being in this weird shape:

image of issue in Asset Studio

Am I missing the point, I cannot really see an intention in this, shouldn't you be able to add resources exactly as the developer designed them?

Additionally I would like to use googles stock clip art, however this wont allow it.

Solution

This is due to the new "Layout Rendering Engine" in Android Studio.

Disable using the following: Settings -> Experimental -> Use new Layout Rendering Engine

Answered By - LS-