Amazon has got a good deal on a small digital camera. The Fujifilm FinePix J28 10MP Digital Camera with 3x Optical Zoom lists for $129.95, but you can buy it for $79.95 with free shipping and no tax. You'll also get a free memory card and case, BUT YOU MUST ADD THEM TO YOUR CARD SEPARATELY. Click all of the following links, adding each to your cart, and you'll see the discount at checkout.
Fujifilm FinePix J28 10MP Digital Camera with 3x Optical Zoom
Fujifilm 2 GB SD Flash Memory Card
Case Logic DCB-16 Compact Camera Case (BLUE)