As I have done my first project on Ruby on Rails.
I want to know what should I do to prepare installation from my machine the code i generated in a project and other thing is that what should I do to install that all on client machine the I prepare from my machine.
You should probably put your code in a repository - probably git via GitHub is best. If the setup is going to be different then perhaps gitignore the database.yml but include a .sample of it. Then to install on someone's machine just checkout the repo bundle install and run the relevant rake tasks (db:setup probably).
Updates can then be applied by pulling from the repo.
Other than that zip it up and unzip on there machine making sure to install everything required.