Congratulations, sounds like a good get. I don't think you'll be disappointed.
I picked up a VADIS CD off of eBay for around $50 for my 2000 V70. It is not very intuitive to use, but once you get it figured out it's a heck of a bargain. Much better than any Haynes manual could pretend to be (after all it's what the dealer service department uses). Plus it covers all models for a range of years in case you have another or decide to get another Volvo in that range. Of course, the first place I go is to search this message board or the one at Volvospeed. Their Bay 13 is a great resource with good instructions and pictures for commmon repairs on 850s. There are other helpful sites, but I don't have the time to all of them. Maybe someone else can recommend their favorites.
You can pick up a couple of different Eqqus Innova scanners at Wal-mart for about $70 and $98. Both models will reset the codes. I think their web site is canobd2.com or somthing like that if you want to study up on them. Actron is another popular brand you can get at Auto Parts stores (pricier though). Or if it's not too inconvenient, you can drive by an Advanced Auto or an AutoZone and they will read your codes for you. They won't reset the codes any more, but the last couple of times I was at the neighborhood Advanced Auto, they just handed me the scanner and I read and reset the codes myself. Also, I haven't tried it yet but Klaus recently posted a link to instructions for building a $5 reader and reset rig that gives Volvo codes which the OBDII scanners won't do.
If you just google obd2 or obdii, you will find numerous sites with complete codes listings.
Best of luck,
Calvin (2000 V70 SE 88K)
Previous 240, 245, 760, 940, 850 Turbo
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