Mine is an HP photosmart 318 -- 2.3 megapixel resolution. It's easy to use, fits comfortably in the hand, takes good pics, indoors or out. Initially, I took all my pics on the lowest resolution, because I didn't expect to do anything other than email them. I learned that it is well worth taking them on the highest resolution, just in case you decide you want to get a print of some of them (and the prints are excellent), because it's easy to resize smaller with no degradation, but you can't make it bigger without getting into the jaggies.
This camera has 8 Mb internal memory, and a slot for CompactFlash memory card. These are available in a multitude of sizes and I got a 64Mb card, which I have yet to even come close to filling up when taking a whole mess of pics.
Unloading to the computer is a piece of cake, straight from the camera, or you can take the CF card out of the camera and stick it in a card reader, which behaves just like a removeable hard drive.
The camera runs around $300 in Canada (so probably about $200 US), the 64 Mb card was around $70 Cdn (so probably about $40-45 US), the reader $20 Cdn.
Hope you find something that fills the bill -- it's not necessary to spend a lot of money for a basic point and shoot camera. Good Luck -- and we're all looking forward to seeing the results!