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Last first: the odometer can be fixed with these replacement gears: www.odometergears.com
They seem to be the source these days.
As for rust, the minor chips like along the front edge of the hood, and fender arches, are from the outside in. Something has impacted the paint and damaged it, exposing steel. Fix this with a bit of touchup paint (Volvo colors are like $8 for a nail-polish type paint bottle) or for bigger spots, a little filler, spray primer, then touchup paint.
Other rust, the serious kind, is often from the inside out, due to water leaks or lack of drainage. This kind of perforation really requires more involved work to fix. Either a fiberglass patch can be made, or new steel welded in. Steel is generally preferred and stronger. Eitehr way requires involved work and professional repainting, for good results. There are methods for repairing such things at home but I like to leave bodywork to body shops myself.
Good luck with it!
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Rob Bareiss, New London CT ::: '87 244DL/M47- 230K, 88 744GLE- 220K, 82 245T-181K Also responsible for the care and feeding of: 88 745GLE, 231K, 87 244DL, 239K, 94 855GLT 189K
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