Measure the wall height, next to one of the open studs.
Stretch your tape measure out across the floor, locking it at the measurement. Unroll a length of fiberglass thermal insulation next to it.
Set your carpenter's square across the width of the fiberglass. Press it down firmly and cut the piece with your razor, running it alongside the square.
Hang the insulation piece vertically between two open studs, filling the space completely. It should fit in tightly and stay there.
Affix the insulation to the sides of the studs with your staple gun, shooting the staples through the edges every foot or so.
Repeat for the rest of the wall, cutting and installing one piece of insulation between each pair of studs. Use your razor knife to cut away the insulation around any electrical sockets or other fixtures. Your drywall will go right over the fiberglass.