Yes. 64MB is the minimum. I actually have seen XP running well on machines with 128Mb of RAM and slower processors (like when I ran it on a 200Mhz Pentium).
If you are short on cash that would be a certainly acceptable solution. One warning however. . . That hard drive sounds like it's original and pretty old. 5 years is essentially the lifespan of most drives and its more likely to fail. Keep that in mind when determining how much this upgrade job will cost and the expected lifespan of the entire system.
If you are short on cash that would be a certainly acceptable solution. One warning however. . . That hard drive sounds like it's original and pretty old. 5 years is essentially the lifespan of most drives and its more likely to fail. Keep that in mind when determining how much this upgrade job will cost and the expected lifespan of the entire system.