Hi Ninea,
While running the Tomcat 5.0 installation this folder path would autofill the setup form for me, but it would close with the "No Java Virtual Machine Found" message.
When you said "autofill the setup", I just wonder, did you use the tomcat executable version, i.e. not the zip version, to install?
I used the tomcat.zip to install. After installation, I set the following environment variables manually.
CATALINA_HOME = c:\tomcat-5.0.28
JAVA_HOME = c:\jdk1.5.0
Joyce