Do I upgrade or start from the ground up?

I have a 2007 dell Inspiron 530 that I want to give new life, I’m lined up to get a E8600 3.33Ghz CPU, 2x4gb of ram, and a WD Blue 1TB SATA 6 Gb/s 7200 RPM 64MB Cache 3.5 Inch Desktop Hard Drive. It’ll cost around $120, would it be smart to do this, or is there something better I can do?

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Clarification Request
What for?

It's not like the base machine or the E8600 and RAM plus HDD will bring it up to what I see today.

Now if you had opted for a SSD that would have me writing "nice move." But you didn't

What will the machine be used for?

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If you can upgrade the cpu-ram-hdd all for 120 bucks......go for it.

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