IMac with 4GB - Parallels partition slowing down

I have an iMac mid 2007 with max memory of 4Gb. I run Windows 7 in a Parallels partition. on both sides I do little else than browse and use Office. Since installing Mountain Lion, the Windows system has been runing slower and slower. Advice from Parallels is to clear the temp folder. They don't seem concerned about the size of the partition.
My question is: is there something I can do to get the performance back up to reasonable speed? Put another way, how can I tell whether the hardware I have simple will not support Mountain Lion and Windows 7 together. I have avoided moving to Windows 8, but do have Office 2013, and it drags.

Upgrade the RAM, 4GB is a minimal amount of RAM these days. To see how you RAM is being used, carefully read Apples instructions on Activity Monitor. You can find them by clicking:
Activity Monitor to read System Memory and determine how much RAM is being used

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