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Vancouver to Banff and back

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Here's the challenge:
My Japanese relatives want me to organise a trip starting in Vancouver, driving to Banff/Jasper and back.
Total time ONE WEEK in August.
Budget: limited. Say around $100 or less per room per night.
Interests: Hiking, sightseeing, eating and drinking.

Can anyone advise me whether this is possible? Suggestions of places to see/hike? Places to stay that won't break the bank? How crowded will it be in August? What's the driving like?

And any other advice.

Thanks.

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