I concur. The iMac is faster, comes with a screen, keyboard, mouse, and larger hard drive. You might be able to find all that for 300 dollars, but it'd take a while to get it all together and the effort I don't think is worth it. If you have all of the extra stuff already, and don't care about CPU speed, then go for the mini. (don't forget you most likely need an adapter to plug a monitor in)
Especially if you don't have a monitor, speakers, keyboard and mouse for a mac mini. Buying all that stuff will bring the price near the iMac's price--making the iMac a better deal because it has more power as well.
EDIT: cawesjmu beat me. I spent way to long writing my response .
Sounds like you do photography and you get academic pricing? I'd skip the iMac altogether, if so, since it has a crappy TN panel. For $900, I'd go with:
Mac Mini = $549
4 gb RAM = $65
Firewire 800 Enclosure = $60
Samsung 1TB hard drive = $100
Total = $775
I'm actually in the EXACT same situation right now. I've decided to sell my current Mini and replace it... I was GOING to get the new Mini, but the iMac just started making more and more sense. I've decided to get the $999 refurbished iMac - it has 2 GB RAM, 320GB hard drive, and 256 MB Radeon card.
Sounds like you do photography and you get academic pricing? I'd skip the iMac altogether, if so, since it has a crappy TN panel. For $900, I'd go with:
Mac Mini = $549
4 gb RAM = $65
Firewire 800 Enclosure = $60
Samsung 1TB hard drive = $100
Total = $775