Here is an entry level of the make FG suggested:
http://www.amazon.com/Takamine-S35-J...ref=pd_cp_MI_1
You can pick up a strap, picks, gig bag and tuner real cheap. I'm thinking between ebay, amazon and guitar center in Spokaine you will end up with about 120-130 tied up in the end. Don't bother with a dvd as you can get the instructional videos free on youtube.
guitar center has the epiphone pr150 just the guitar for $129.99