This depends on how much memory you have now. If you have 128MB, 256MB or 512MB I would spend the money on more memory and to to 1 Gig. You are not going to get that much more speed at those lower amounts of Memory. After 1 Gig I would start to favour the higher processor Speed. With CPU pricing falling as we speek you should get a good price on faster CPU's. If you can hang on for a month or two you should be able to get great deals on CPU's at higher speeds
I'm getting a new HP Pavilion and I'm customizing it now. I don't game, but the idea of making DVDs intrigues me. The default processor is the 64 3500 ... for 80 dollars more, i can upgrade to the 3800. Is it worth the price? Am I really going to see a difference in my everyday tasks?
I've always been of the mindset that the power is in the memory, and it's better to get more memory than a slightly better processor but I could be wrong.