I have it all set up with the following components:
Core 2 Duo (2 Ghz/2MB cache/800 FSB)
120 GB HDD
Intel X3100 GMA
She's a very basic user, and will only be doing internet, MS Office, iTunes and DVD watching mainly. She won't be doing gaming on it, so the X3100 GMA should be fine. I think this system should suit her nicely.
The one question I had concerns wireless networking. Is there a big difference between the Intel 4965 A/b/g/n card...