Well, I'm not sure how this one will handle Photoshop, but just last night my Lenovo X140E arrived; this morning I began loading software and customizing it. It did not seem as slow as its A4-5000 suggested it might be. I loaded Firefox, a few add-ons, Thunderbird, LibreOffice, MalwareBytes, Java, Flash, ran a scan and uninstalled some of the already minimal bloatware that came with it, almost all the while streaming Uncle Sam's Misguided Children Shoutcast radio on it. I think I had it running for around six hours, finally running out of things I wanted to do on it at work (more to come at home though, like loading a few games), and the battery still showed about two hours left.
It's screen is only 11.6", and it doesn't have an optical drive, but so far I'm pleased. It was around $550, which I think is close to your budget.