Very good explanations psparky!
just to catch this, PSU is a power supply.
that 650W value should1 be RMS, and it can supply a total of that when you add up all the loads2. note that power is delivered over two wires, since it involves a voltage (which has to be between two places). almost universally in DC systems, the black wire is the return, called ground.
for eg: the potential difference will be between the Red and black wires, and the current will flow from the red wire through the load and back through the black wire (in the other direction, remember KCL?). these values give you your I and V for the eqn.
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1Marketing/sales people will use any figure they can to make something sound better
2Things are actually a little more complicated than this, but the concept is what's important at the moment.