Need GPU and power supply help

So I currently have an HPE-400y with no internal changes made yet:

I intend to upgrade my GPU and power supply (and potentially my CPU if necessary). My current GPU isn't all that good for gaming and I want a better one, and I realize a power supply upgrade is necessary. I have a limited budget, so I'm looking for cost-effective upgrades. After doing a lot of research on Google, I came up with this...

Two potential GPUs (I don't know which to get):

Potential power supply:

So I have a few questions....

1. Which GPU should I go with? Or is there something better I can get that's under $130?

2. Will that power supply run said GPU?

3. Will everything fit into and be compatible with my current motherboard and tower?

4. Since I intend to run modern games, should I upgrade my CPU as well, or is my current one fine? If I should upgrade, what's something I can get that's cost effective?

Extra things to know: I'm not hardware savvy at all. My OS is Windows 7 Home Premium (64-bit).
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  1. Best answer
    Get HD 7850, has better performance than R7 260x

    Don't get CX 600W. It is a poor quality power supply.
    This is the PSU that you should get
    It will run either of the cards fine. The 50W difference doesn't matters, since the CX600 won't be able to give its all the rated output at high temperature (>40°C) unlike the XFX 550W PSU

    The PSU & Card will fit in your case and motherboard.

    You don't really have much upgrade options for CPU. Bottlenecks always exist in a system, but still Phenom ll X4 945 + HD 7850 is a good combo, you might face few problems in CPU intensive tasks(like BF4), but it won't be worth bothering.

    There is one more option in which you don't have to upgrade your current PSU, it is GTX 750 Ti. It has better performance than R7 260x but is outperformed by HD7850.
  2. Sweet thanks. One last question: I looked up the video card on Amazon and I saw multiple different company names such as PowerCooler, MSI, VisionTek, etc. What is the difference between these and which one, if any, is better for the price (and will still fit)?
  3. The better quality ones are generally →Asus, Gigabyte, MSI, EVGA, XFX.(Sapphire too)

    Preferably choose something from these brands, but Powercolor, Zotac & PNY are not that bad, avoid Visiontek though.

    For price I would opt for Sapphire. Their price is reasonable and Sapphire is biggest manufacturer of AMD cards.

    It will fit? It depends on lenght of Graphics Card. Your case has 17inch lenght. So you'll be having clearance of around 11-12inch for card(Confirm it manually). Don't get a card with lenght greater than maximum graphics card compatiblity of your case and you'll be fine.

    Though the above two models you listed will fit definitely.
  4. Perfect. Thanks again!
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