My vote: Accept the camera as a gift from a dear friend. Money is just that....money. I, too, would share an inheritance with friends in need. Your camera seems to be your one form of happiness and entertainment. Your friend seems to be as kind as any one person could be. Enjoy her friendship and accept the gift. Not everyone is lucky enough to have such a friend.
And of course, let us see your new photos with your new camera!
You are worthy! <------repeat after me.......
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