In this particular case (a PC), almost all the power consumption is resistive. If you measure the output current of the PSU, that's DC and thus is all actual consumed power. It constitutes an underestimate of total power consumption (it doesn't include losses in the PSU, which gets warm and so is consuming power), but, if your PSU is reasonably efficient (which they are these days), it's probably close enough to the overestimate produced by 120V*0.17A to give you a ballpark electricity bill figure.
Peter