Recommendations on MIDI hardware and software?

Hi, I am new to the audio side of things, so I apologize ahead of time for my ignorance.

I am looking to create music for some of the videos I am producing. My sister was a music major in college and has a MIDI keyboard. However, she does not have a MIDI interface to connect to her PC.....nor MIDI software for recording.

I was wondering if some of the knowledgeable people on this forum could suggest some of the following:

-a MIDI interface---preferably external (USB or Firewire)

-MIDI editing software that also allows composing (my sister said she HATES righting notes on a sheet of paper) and also allows the user to swap the notes played from the keyboard to notes from a different instrument...i.e. drums, guitars, etc.

I was looking at a simple USB MIDI interface from Edirol or M-Audio. I'm also thinking of getting Cakewalk Home Studio or Home Studio XL. Does anyone know if my choices are on the right track?

I'm hoping to get a setup for around $200 -$250. And I am hoping to get products that allow decent quality.

My sister's home computer specs:

-Sony Vaio 2.4 Ghz Intel Processor--533 Mhz FSB
-512 mb of RAM
-it has something called Giga Pocket (?) which supposedly makes interferes with any other soundcards, so a new soundcard might be out of the question.


I greatly appreciate any and all help that can be offered.


Kyle