Your application packaging is correct. Looking at the exception stacktrace, i believe that
in your C:/jboss-4.0.4/jboss-4.0.4.GA/server/default/ deploy folder there is a META-INF
folder which contains ejb-jar.xml and jboss.xml files. If thats the case, delete the
META-INF folder and its contents and start jboss.
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