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Amazon has Microsoft Office 2010 Home & Student, Windows (1 user / 3 PCs) for $90 with free shipping. Includes Word, Excel, PowerPoint, and OneNote 2010. Best Buy has it for the same price. Even better, you can upgrade to Office 2013 for free when it comes out.
$90
You may be able to upgrade to Office 2013 for free, but as I understand it, you won't be able to do it for 3 users, only 1.
If students are tight on cash, why don't they just use the freeware/open source stuff?
http://www.filehippo.com/software/office/
Because all of my instructors need it in word format from the 2007 or 2010 version
Your instructor is not exercising proper leftist dogma then...