Basic configuration and setup

Hello there, I have transferred a physical Windows (HP) PC with transporter to a VM it runs windows 10 and the VM size is 300GB. I have upgraded to Parallels 14 Pro and struggle with the large VM size on my fusion drive 1256 GB.

What I would like to have is a relative small windows 10 VM say 10GB for the Windows and 10GB for applications and 10 GB for data. How can I create that starting from where I am.