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What are you looking to do with that system, and how much are you looking to spend on the upgrade? I have a couple of older P3 systems that I use for folding, and they are pretty bare bones system (one is literally just a PSU, mobo, CPU, HD, and RAM sitting on a TV tray). If you're looking for anything much more than a decent web browsing computer or a light weight folder, then you'll probably have to make a significant investment in upgrading this machine. On the flipside, if you're looking for a decent low end machine for light use, you can likely make some decent upgrades for a reasonable price.
 

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Pop into the BIOS of that system and see what CPU frequencies are supported. Quite often those older motherboards list FSB x multiplier in the same line. If if can take a 1 GHz CPU, you can just get that and the RAM you need. That mobo is limited to 256 MB, though that is sufficient for Win 98 and light usage.
 
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