Is this for a class??
Are you an Electrical Engineer student or a Computer Hardware Engineer student? Seems like you're an EE to me. Also, what year Engineering student are you? Have you done programming, microprocessors, micro-controllers, PICs, ADCs, DACs, etc?
IMHO, your design is "okay" for an first-year EE. But, not at all acceptable for a Hardware Engineer.
For a Computer Hardware Engineer student, doing a PIC-based solution is what would be best. It would actually touch on many different technical areas (DSP, real-time, interrupt, polling, latency, accuracy, code size, debugging real-time code, fractional compute time & accuracy, etc). But, it's also a pretty simple thing to do and there are many PIC code examples that you can use.
Eventually, once you graduate and start working, it'd be nice if you can do the above in Xilinx Spartan 3 with a PicoBlaze and some level translators (needed for the 5V input signal).
Knowing DSP, FPGAs, DSP, micro-controllers, floating point issues, analog interfacing, and so on are the areas that will help get you a job.
IMHO, using the LM3914 and LM2917 is more high-school level stuff than college level stuff. And, considering that mammoths still roamed the Earth when I taught for 8 semesters, started a brand new course (new course number, the whole bit), and overhauled 2 existing courses when I taught, I don't think that something that was overly basic back then is something you should be spending much time on as a College-level Engineering student.
Also, if doing the PIC stuff isn't what you like, then don't even think about going into Hardware Engineering. EE would be fine. But, even now, many EE's have to program and know a lot about DSP. Using Matlab is pretty standard for a lot of EE stuff today.
Last: You don't have to use a PIC. There are other choices. But, the PIC is the most common and where you'll also find the most examples and help. I like the Motorola micro-controllers, the Cypress PSoC, and the FPGA-based solutions.
A Cypress PSoC would be good if you're an EE. But, that's really more of a 3rd or 4th year level student project because of the complexity involved in dealing with the PSoC.