Help! H/W config to run pro-audio apps?

I am currently planning to upgrade my Dual-core 2.6 GHz machine, 2GB RAM.

Requirements and reason to upgrade :
Audio recording, working on CPU hogging apps like FL Studio, Nuendo, Ableton and the likes...

Config I have frozen on :
Intel i7 930 processor
Intel 58SO Motherboard
4GB Transcend RAM

Need your help on deciding : suitable cabinet and a SMPS/PSU.
Reason for confusion :
I was asked by the shop guys to go in for a 700W SMPS which costs Rs.1350, and cabinet (extra expenditure)... This overshoots my budget by quite a lot.

Now ...On the contrary, is a Intel Core i5 sufficient enough to run the applications I have mentioned above?

Hoping for your replies on the same.

Regards,
AK (Confused soul, for now)

Dont take cheap 700W SMPS that cost Rs. 1350 because they tend to die soon, go for some branded psu's from corsair or antec or coolermaster, that will approx cost you above 5k for 700 + watts I suppose. You see they have good wires that gives good power to the hardware components in your rig. Apart from that, there are a few other questions like will this system be used for overclocking, or are there other primary tasks it will need to complete. An intel i5 core would be no doubtly more than enough for sure. You will need a good sound card as well.

Unidentified, thanks for your reply.

pardon my ignorance, but my query was - is 700W really required? Or is a 450W SMPS good enuf to support the config? Asking since should I spend that extra money on SMPS and stuff...?

At this point in time, I am not sure whether I will over-clock.
All I am looking at is a CPU that does not 'yell for help' when I use the apps mentioned. I do multi-track audio recordings which utilizes CPU to a good extent), so I 'd still prefer to have some % of CPU left, you see?

I have a M-Audio 2496 sound card, so that part is taken care.

I think that you should go for the SMPS of 700W, instead of 450W. Because, if you are using the GPU (in future), you will need the 700W. So if you are going now for 450W, later you will have to modify your SMPS with highest. So, the better way is to go for 700W. I know it will cost you much, but that is the better way.