for me that would be not enough computing power... nowadays if you want to do anything fancy like use Photoshop or play a RPG, you'll be looking at double that price for a smooth running system with enough CPU and GPU to do anything interactive. 17" is just fine on the size, and good for playing movie dvd's, although for somewhere like at school it will take up most if not all of the desk space...
I'm in the middle of upgrading mine from the crappy stock wal-mart set... got a kick butt graphic card for the holidays and doubled my HD space, all I need now is a new PCIe 2 motherboard, double the RAM size, and the latest compatible CPU and I'll be ready to rock any game and make videos in a flash... right now I have to wait 5 minutes for every one minute of film that I render on sony vegas...
anyways, if you have the resources to buy a custom ordered PC direct from the manufacturer and max it out to your needs, then it will be worth the investment.