By graphics design do you mean stuff like Photoshop? If so, go heavier on the processor and get a cheapie graphics card. Also, you'll want a better motherboard. That case you posted also comes with a power supply, which means the power supply probably sucks .. but since you're not gaming or overclocking I guess it would work. It'd be better to get the case and power supply separately, though (unless you get an Antec case). Try this stuff:
MSI K8N Neo4-F socket 939 motherboard
AMD Athlon 3500+ CPU
1GB Crucial ValueSelect DDR400
Ledtek GeForce 6200TC 64-bit
- make sure it's 64-bit, not 32-bit. This card should be pretty darn good for the money.
The optical and hard drives you posted are fine.
This setup should be about the same price as the one you posted, but it's MUCH better for your purposes. You DON'T want that processor, trust me. That was a good processor two years ago. How much of that posted stuff is from the Dell?