How to fix "no acceptable C compiler found in $PATH" error on Mac OS

If you have a need to compile Memcache or wget on Mac OS X Lion and are wondering why you are getting the error

no acceptable C compiler found in $PATH
on Mac OS X Lion, you’re not alone.

Thanks to this post, I was able to fix my problem. Here are the steps.

1. Run App Store
2. Search for Xcode – it’s a free install from Apple
3. Wait for awhile. Took 30min to download for me on a 20mbps connection
4. Authenticate and let Xcode install. Once Xcode is installed you may be thinking you’re done. You would be wrong!
5. Launch Xcode and run the mobile toolkit update (you can’t skip it, deal with it)
6. Go to Xcode Preferences or press ⌘, (Command-comma)
7. Click the Downloads tab -> Components list as shown below
8. On the last row of the available downloads are the Command Line tools. Install them.

You should be good to go after that!