IIS An application with this virtual path already exist

If you get the the error "An application with this virtual path already exist": 

when creating an application in IIS is because an application was previously created pointing to that path, some people get confuse because they don't see the application in the connections panel, to remove the virtual path follow the next steps in IIS.

Open IIS Manager

In the Connections pane, expand the Sites node, then click to select the site in which the application is running

In the Actions pane, click View Applications

On the Applications , select the application you want to remove, then click Remove link in the Actions pane.

Click Yes to confirm that you want to remove the application.
Now you are going to be able to create your application!