That's probably a "fair" price - definitely no amazing steal, but not a rip-off, either. What is the serial number? Is it low enough for the M1896 sight to be "correct"?

I'd carefully polish the stripped bolt body (only - don't polish any of the bolt parts) and just leave the receiver to age on its' own. When the rifles were refinished by the army, they were blued, as opposed to renewing/redoing the original oil-casehardening.