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If there are any conflicting parts or I am forgetting anything, please, let me know.
Motherboard: ABIT I-N73HD LGA 775 NVIDIA GeForce 7100 HDMI Micro ATX Intel Motherboard
($84 with $20 mail in rebate)CPU: Intel Core 2 Duo E4500 Allendale 2.2GHz LGA 775 65W Dual-Core Processor ($125)
Case: APEVIA X-QPACK-NW-BK/420 Black Aluminum 1.0 w/ ABS plastic front panel MicroATX Desktop Computer Case 420W Power Supply ($89 with $15 mail in rebate)
Hard drives: SAMSUNG SpinPoint T Series HD501LJ 500GB 7200 RPM SATA 3.0Gb/s Hard Drive (for data)($99)
Western Digital Caviar SE WD1600AAJS 160GB 7200 RPM SATA 3.0Gb/s Hard Drive (for system files, program files, ect.)($50)
RAM: CORSAIR XMS2 2GB (2 x 1GB) 240-Pin DDR2 SDRAM DDR2 800 (PC2 6400) Dual Channel Kit Desktop Memory ($50 with $25 mail in rebate)
Optical Drive: Pioneer 20X DVD±R DVD Burner Black IDE Model DVR ($30)
For a grand total of $512, with about $60 in mail in rebates. I didn't include a video card because the person I am building this for doesn't do too much gaming.
Biostar P4m800-m4
Pentium 4 Prescott @ 3GHz
1GB Corsair PC3200 RAM
Geforce 6200 AGP
2 80Gb Harddrives
XP Home SP2

The E4500 has a FSB of 800 MhZ(200 MhZ clock speed). Even if you overclock some, you'll have to run the RAM at less than DDR2 800; Maybe you could get slower RAM(PC5300, say) for less money, or spend the same money on slower RAM, but use more than 2GB of RAM since some of the memory will be used by the onboard video.

Dell has the EPP Inspiron 530 Desktop: Core 2 Quad 2.4GHz, 3GB DDR2, 500GB HDD, DVDRW, Windows XP Home or Vista Home Premium $440 Or $422 .....
Specs:
* Intel Core 2 Quad Processor Q6600 (8MB L2 cache,2.4GHz,1066FSB)
* Genuine Windows XP Professional - English
* 3GB Dual Channel DDR2 SDRAM at 667MHz - 4 DIMMs
* Dell USB Keyboard and Dell Optical USB Mouse
* Integrated Intel Graphics Media Accelerator 3100 IV
* 500GB Serial ATA Hard Drive (7200RPM) w/DataBurst Cache
* Integrated 10/100 Ethernet
* DVD+/-RW Drive
* Integrated 7.1 Channel Audio
* 1Yr In-Home Service, Parts + Labor, 24x7 Phone Support@ Slickdeals!!!

I recommend NOT getting a "lunchbox" PC case & I definitely wouldn't put a lot of faith in the Apevia 420W PSU. Get a mid tower case w/o PSU & buy a decent PSU separately.

Sabertooth, I checked that out, and I couldn't get an email that worked, all of them didn't for some reason.
kx5m2g and jam, Ill take your advice and make some revisions.
Biostar P4m800-m4
Pentium 4 Prescott @ 3GHz
1GB Corsair PC3200 RAM
Geforce 6200 AGP
2 80Gb Harddrives
XP Home SP2

Well I think that build is quite good for the budget. And I have got to know that there is a deal on the OCZ 2GB ( 2 X 1GB ) Platinum PC2-6400 DDR2 memory for $34 , I think you can get that pair.

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DVD won’t finalise
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is it ok to leave the USB...
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