Is this a good system<what is it capable of ?

It's a nice respectable computer, personally I am a fan of the Core i7 processor rather then AMD, but that is still a good AMD processor. You could use a little more RAM maybe, but 3 is fine. And just to be clear I'm being critical, you do have a nice setup and you could do plenty; it is much better then a lot of computers, but I'm just pointing out things I would upgrade if I was going to.