Concept: According to Ohm's Law, the flow of electric current through a conductor is directly proportional to the potential difference across it, provided physical conditions (like temperature, pressure, volume etc.) remains same.
v = ir
or, r = v / i
Here, current (i) is measured by Ammeter which should be connected in series of any electrical circuit.
voltage (v) is measured by Voltmeter which should be connected parallel to the external resistance (r).
In the given experiment, the first arrangement of the circuit will show the smallest error because the voltmeter is connected exactly parallel to the external resistance.
In the second arrangement, the voltmeter is connected across external resistance (r) and Ammeter (A) and in this case, the voltmeter will not measure the exact potential drop across the external resistance (r). So, there would be more error.