The Custom Post Type UI plugin also allows you to create custom taxonomies.
This is why the Add new custom post type page is divided into two columns. On your left, you have the form you need to fill to create your custom post type. On your right, you have a form to create a custom taxonomy if you need one.
In the custom post type column, first you need to provide a name for your custom post type. This name cannot exceed more than 20 characters, e.g. movies, recipe, deal, glossary, etc.
In the next field, you need to provide a label for your custom post type. This label will appear in your WordPress admin bar just like posts and pages. It also needs to be plural to make sense. e.g. Movies, Recipes, Deals, Glossary, etc.
After that you need to provide a singular form for your label. This singular form will be used by WordPress to show instructions and other user interface elements.
Lastly enter a description for your custom post type. This description is simply used to describe what your post type does.