Walmart has the Mainstays 54" Faux Leather Loveseat Sleeper (Black or Gray, DA3350SB-GR) for $ 264 with free shipping. List price: $289. It features a twin mattress, thickly padded seat cushion and a loose back cushion for softness.
Amazon has the Poundex 2-Piece Sectional Sofa (White, B00NNKC8AO) for $451 with free shipping. It features an adjustable arm rest and back supports and faux leather upholstery. Has above average Amazon Reviews.