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Yesterday, I used this process 4-5x during video lesson. All were great. Today, half day spent trying to get my app setup without adding code. I kept getting Kotlin compile does not agree with Java. I'm not sure if this babel-eslint has caused my error or memory draining Android Studio emulator. File explorer would not allow rename this app for permissions. After one setup worked a couple of times, then the next launch actually got a blue screen.
After a few restarts and re-builds and without Android Studio, the last one seems works. Although, one thing I did differently. when vscode came up, it asks to enable nullAnalysis. Every time, I replied no or closed the message. This time I enabled yes. This created a settings.json before I could add one. I merged it with yours. The nullAnalysis setting is "java.compile.nullAnalysis.mode": "automatic". Kind of points to a compile problem and nulls do cause blue screens. It is something new that may affect your setup.
My app appears to be working. I did an navigation install, re-arranged folders. Was not able to get pass that before. Thought you may need to know this.
Before I found your article, I had impossible prettier/eslint errors for days.
Thanks for your help.