So we know more about it...
At the Apple Icon at top left>About this Mac, then click on More Info, then click on Hardware> and report this upto but not including the Serial#...
Model Name: iMac
Model Identifier: iMac7,1
Processor Name: Intel Core 2 Duo
Processor Speed: 2.4 GHz
Number Of Processors: 1
Total Number Of Cores: 2
L2 Cache: 4 MB
Memory: 6 GB
Bus Speed: 800 MHz
Boot ROM Version: IM71.007A.B03
SMC Version (system): 1.21f4
Start by checking if you can run Snow Leopard:
Requirements for OS X 10.6 'Snow Leopard'
OS 10.6 Snow Leopard is once again available from the Apple Store:
and in the UK:
but nobody knows for how long it will be available.
To use iCloud you have to upgrade at least to Lion, but some functions are only available in Mountain Lion:
You can also purchase the code to use to download Lion (Lion requires an Intel-based Mac with a Core 2 Duo, i3, i5, i7 or Xeon processor and 2GB of RAM, running the latest version of Snow Leopard), or you can purchase Mountain Lion from the App Store - if you can run that:
When you have installed it, run Software Update to download and install the latest updates for Snow Leopard.