New to computers, does this look like a good buy for the price?

I am on a 10 year old compaq presario and want to get a new desktop, not really for gaming but just be able to multi task and watch vids / movies. Found this on newegg for $468.49 but I am not sure what to look for in ram / motherboard etc.
http://www.newegg.com/Product/ComboBundleDetails.aspx?ItemList=Combo.514074

Thank you very much for anything you can help me with.
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  1. PSU is ... OK, I guess. The included hard drive makes it a no-go for me.

    The larger Seagate 7200.11 drives had serious firmware problems.
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