Strange. It looks like there is no space between the & and "docs:doc" but it is not really clear. Try with another folder name or type the single set theFolder line in another script editor window and see if it compiles.
Code:set exePath to (path to home folder as text) & "SetFileIcon" set imagePath to (path to desktop folder as text) & "Actions.icns" set theFolder to (path to desktop folder as text) & "docs:doc"
Just one more question I won't bother you again I want the action.icns and the setFileIcon to be in a applications resources but when I place the path it does it work .