Is there any guide on how to install wordpress with this configuration.
My server has 2GB ram, and I am not even using 1GB appropriately and so thought to try Memcache.
EasyEngine doesn’t need a lot of memory, but using memcached for full page caching will not require more RAM. I recommend you to look to redis cache instead of memcached. You can read the Magento docs about that : Why Redis is better ?