can't start JBOSS from eclipse

I was trying to start jboss4.0.1 under eclipse 3.0 (using JBOSS-IDE).
However I am always getting the following error:
[JDK]: Could not locate tools.jar. Unexpected results may occur. Make sure that you have selected a JDK with its path pointing to its home directory not to its JRE.

Any help is apprecited. I have already spent long hours without resolution.

And is your JDK configured in Eclipse as it asks it to be?
[ March 07, 2005: Message edited by: Paul Sturrock ]