1> Now im wondering whether the on-board sound of the motherboard is good enough for the creative 5.1 speakers i plan on getting (and vice versa as well).
Im on a budget btw..
2> The LCD monitor of choice, gud enough for games n movies?
3> Wil lthe graphics card be able to play the latest games without choppy play (if i OC it alongwith the processor).
OR if i go with onboard graphics, will it slow down the system (im talkin normal windows..not games)
You're getting quite a decent speakers, On-board sound is OK but sometimes you might get background noises by just moving the mouse. If you're on a budget, i suggest you should get at least an Audigy 2 Value or the XFi xtreme music. Trust me, it'll sound better than your onboard sound.
As for your gfx, the X800 XL AiW doesn't really support SM 3.0. so unless if you dun mind sacrificing image quality, get at least a X1 series. X1800 XL AiW is not bad. or you could just get a 7900gt and another separate TV tuner. heh! 7900gt are highly overclockable.
Other than that, you'll have a highly overclockable PC
Remember, your soundcard is your preamp+DAC and while speakers are the most important part of the mix your soundcard is important too, it may be worth the cost of a few movies with your favorite lady (though she may not agree).