Sources:
Text Tutorial
Espresso Course
Main Android Terms
An activity
is one screen of an app. In that way the activity is very similar to a window in the Windows operating system. The most specific block of the user interface is the activity. An Android app contains activities, meaning one or more screens. Examples: Login screen, sign up screen, and home screen.
An activity in Android is a specific combination of XML files and JAVA files. It is basically a container that contains the design as well as coding stuff.