Connecting laptop to 26" LED TV as the monitor

I just purchased a 26" LG LED TV to use as a monitor connected to my Dell E6400 laptop. What is the best type of cable to connect the two? Laptop has a Display port, DVI Out, and VGA. I'm assuming DP or DVI are optimal but unsure which is preferred.

Also, the TV is a 720P. Text is kind of blurry. Would this be corrected if I upgraded the TV to a 1080P model?
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  1. for the resolution your TV supports you can use any of the above.
    look in TV options to set it to PC mode, that should sharpen the image
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