These are prices we paid in Puerto Pollensa last week. I would expect Magaluf to be similar...
3 course meal for 2 including a bottle of decent wine, water, bread and olives... anything from 22 Euros up to lots of cash. That was 22 for an excellent 3 course Chinese and 26 for a 3 course Spanish and the 22, 26 is the total for 2 people. Shop around for the "Menu Del Dia" or go A La Carte and get a main course from around 10 Euros upwards, bottle of wine for 10 upwards, your choice. Our most expensive 2 course A La Carte with wine, water etc was about 45 Euros for 2. Nice meal, decent wine. You can pay lots more if you choose to.
Groceries are about the same or cheaper than the UK for an average shopping basket. Wine, beer, spirits, fruit, veg all cheaper than the UK. Chicken and other meats about the same or slightly more. Buy UHT milk rather than fresh as it's much cheaper and lasts longer in the heat. Steer clear of UK brands, stick to local Spanish brands.
We were there for 2 weeks S/C, breakfast in every day, lunch in every day except 2, dinner out 5 nights, the other nights in. For food and water, newspapers, bus fares, drinks for the flat, beers while out walking, we spent around 600 Euros for 2 people. Works out at 150 per person per week, not bad.

We were in Cala Dor in August and we paid on average 60 Euros for two adults and one child - 2 courses, couple of beers and juice (nice restaurant). Lunchtime we paid approx 25 euros for the 3 of us, one course each excluding beer. But we did see plenty of restaurants, 2 - 3 courses with a glass of wine/beer included for 10 euros so plenty to choose from on the food front.

Here's a link for the cigarettes. Go to a tabac shop, much cheaper than the airport

http://eurochange.es/seccion/en/prices/2/_table