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A few months ago my engine started a rod knock and I had to ask this same question. My mechanic just got a parts car that was in a minor accident and the engine had 140k on it. Since he did all the maintanence he also knew the condition and work done on the car.
Long story short I replaced the motor and the majority of the cost was labor, gave me the motor for close to nothing. The car is running great now and actually with a little more pep from the 200k motor I replaced.
Basically I think that for a little more you could replace your entire car, but if your current car has a decent body, good trans, etc. Replacing your motor will at least give you the comfort of knowing what other repairs you've already done won't be duplicated on another used 240.
That's my two cents.
Geffen
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