Rather than pay $867 for the repairof a fairly obsolete system, we opted to spend more but get into the Intel Macs. The Genius Bar will be working their mojo and porting over all the data from the old iMac to a new one, as well as adding a gig of RAM. I have also bought a MyBook (500Gig) for Time Machine backups.
Of course, this nearly set the poor credit card afire and we may need to get reaquainted with ramen, but the iMac is a central part of the household, sited right here in the kitchen (this update is from the Forest Green G3 I almost sold to Brad Bowyer). It was the only machine I'd trust to do skype and recording on simultaneously. And the daycare listened to lots and lots of iTunes during business hours.