Hello there! I've installed JBOSS 4.0.1 and It complains about javac compiler. Jboss 3.2.7 is running smoothly on the same machine. I do have javahome configured and my path, the first element points to jsdk installation. I'm running windows 2000 server.
Are you sure it's a SDK?
It looks like you installed a JRE.
Try "javac" from your command line?