OK, I'll play and I will just do this from a quick check at Best Buy, I am sure I can find a better deal on a TV.
I would get this Samsung 40" LCD which is on sale for $675
http://www.bestbuy.com/site/Samsung+-+40%22+Class+/+1080p+/+60Hz+/+LCD+HDTV/9783506.p?id=1218173773494&skuId=9783506&st=ln40c530&cp=1&lp=1
Then I would get a 120 Slim PS3, which would cover Gaming, Movies, Music and Internet Browsing - $299
http://www.bestbuy.com/site/Sony+-+PlayStation+3+(120GB)/9476952.p?id=1218115837227&skuId=9476952
There you go, 2 purchases to do pretty much it all
I would get this Samsung 40" LCD which is on sale for $675
http://www.bestbuy.com/site/Samsung+-+40%22+Class+/+1080p+/+60Hz+/+LCD+HDTV/9783506.p?id=1218173773494&skuId=9783506&st=ln40c530&cp=1&lp=1
Then I would get a 120 Slim PS3, which would cover Gaming, Movies, Music and Internet Browsing - $299
http://www.bestbuy.com/site/Sony+-+PlayStation+3+(120GB)/9476952.p?id=1218115837227&skuId=9476952
There you go, 2 purchases to do pretty much it all