Short answer, DIY or DIE. From start to finish:
Recording supplies: $100 for a usb recording interface with two simultaneous XLR plugs for stereo micing. $140 (list) for two SM-57s (you can get this much cheaper by looking).
Packaging: 50 cds -- a stack of 100 should set you back less than $20. Full-size cases are about 50ยข-$1.00 each; slimline are less. Glossy paper for the liner notes is maybe $10 for 30 pages, which you can do like two to a page to save time and money. Ink is totally dependent on your printer. There are "CD Stompers" that let you affix a precut label to your cds, which contrary to popular belief, is better for the life of your cds than anything but getting a CD printer (which is expensive). They're like $10, but the paper and the templates to print on them are usually much more expensive, like $20 for 15 or something exorbitant like that.