My studios worth about 660$ but hardware itself is like 160$ and look at the quality of my music (cept 4 Pop Fusion, lol) heres what i got
Audacity Software Free
Windows XP MC edition 500.00
Logtech Computer Mic 9.50 (at Walmart!)
Old Casio Keyboard 150.00
see, i have a cheap studio, and my music quality is alright :)