I would stick with intergrated sound and video.
If she needs better, get it at a later time. Onboard video is quiet and does not run too hot. Onboard would work for her, some even have 5.1 built in.
Also, as others said, get a 160 gig HDD
CPU is overkill for her needs. an E21x0 is what she needs.
Also, do you need an OS?
, total of $380 shipped (and a $10 MIR).
MoBo- MSI P6NGM-L (7.1 sound and GeForce 7050 onboard video)
PSU- Antec EW 380 (I have this, quiet)
RAM- G.Skill DDR2 800 (I have these, work well)
HDD- 160 gig WD
Keyboard/Mouse- Same one you picked
Optical Drive- Same one you picked
Case- CM Cent. 5 (I have this case, nice. Only thing I don't like is the USB ports are on the bottom of the case)