The 850R has the 17" wheels with lower profile tires, fancier front bumper, hotter ECU (which holds boost a little longer), beefer suspension and special leather interior. Despite the slight extra turbo boost I've heard that acceleration times between the 850 Turbo and 850 R are near identical. Actually the 850 Turbo may even be a hair quicker due to smaller wheels (16" as opposed to 17"). I believe the horsepower difference between the two is 18hp which is negligable.
Still if you get a chance to get the 850R, go for it! It looks fanastic and also may hold more value due to the fact that it's a limited edition vehicle. Good luck!
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'95 Volvo 854 Turbo: Gold Edition K&N Air Filter, Leather, 6 disc CD-changer, Rear Spoiler tinted windows
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