Hello everybody!

I just got my first 700 turbo and i was wondering how to improve it since it needs work anyway.First, I notice that the timing was off, what would be the correct porcedure to check it since it is not adjustable? Second, receipts in the car indicate that the engine head has been rebuilt twice already, but it has a ticking noise in the head of the engine, I suspect a broken valve spring, although it could be as simple as adjusting the valve clearences, in addition to this, the compression test shows #1 cylinder really high at about 180, cylinders #2 and #3 at about 130 and #4 at 150 (let me say that the engine was cold when i did this because it was starting at this point). So I am concerned that it may need a head rebuilding, which may cost me about $200-$300 if I do the work, as an alternative I am considering replacing the whole engine, I think I can get a parts car with a good engine for a little more than the engine head work will cost. The donor car will be a '88 or newer. Will a newer engine work on an 1986 model(because of the different engine sytems)? What would be the best engine choice for this car? (It has the original engine with 178kMiles, first generation B230FT).

Thanks a lot for any replies