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You're not going to like this... First I would strongly advise purchasing or borrowing the Volvo Green manual for the 700 series Climate Control systems (they often show up on eBay). Browse the manual and look at the differences, since there are few similarities. Of note, the large "enclosure" that holds the heater core, AC evaporator, blower motor, and most of the aparatus for the Climate Control system will have to be changed (it's quite large). You should plan on removing just about everything between the front seats and the firewall just to get the beast out.
The Climate Control service manual will have info to help troubleshoot and repair the unit, which may be an easier route. In the meantime, I'd check for vacuum leaks where at the firewall connections and the large vacuum motors (where visible) and see if you can get the original ACC functioning again.
Good luck and God bless,
Fitz Fitzgerald.
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'87 Blue 240 Wagon, 269k miles.
'88 Black 780, PRV-6, 149k miles.
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