Is filing a small claims case advisable?

I bought a computer package from a major electronic retailer, and when I took the computer home...it was not the model that was on the box and did not work at all. It was obvious the computer had been tampered with. When I returned to the store for a refund they told me they could not refund my money because that was not the computer that I bought from the store.

I have tried to resolve this with the store and with the corporate offices. The store has finally offered to exchange the tower, but I originally purchased this as a package and the monitor and printer were to be reimbursed through rebates. So now I would have to buy a monitor and a printer because the rebates have expired and I originally returned them when I brought my computer back the first time. What should have cost 650 will now cost over 1000 for something I have no control over. I want a refund of my 650, but they said that is not an option.

Is filing a small claims case advisable?

Yes file in small claims. You could also file a police report for theft and fraud since the good were switched based on what you say here.