AMD still provide a sufficient platform for those on a budget that don't need super cpu power. That said, I would (and have) chosen Intel over amd wherever possible.
Price sounds average to me.
Gpu and psu all depends firstly on his budget and secondly what his resolution is.
(psu depends on what he is putting in it but single card and he should be good with a decent 500 - 600watt, allowing for overclocking and a reasonable card.)
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