Drivetrain Questions and Suggestions

360 with the 904 (or 999 if you want to spend your $$ that way) will be a good combo for the street. The 8.25 will also suffice as you are on a tight budget - $1800 will piss away quickly. Also, by using the current trans you won't have to mess with the drive shaft - more $$ saved. How is the 360 you bought? Miles on it? Was it running? etc.. - the usual suspects to start with IF you don't have to get into the engine internals - intake, better carburetor, headers and upgrade the ignition components -better plugs, wires and coil at least. To put the 360 in where a 318 was, you'll probably need different engine mounts. And of course you will need a new torque converter. Add it up and expect the unexpected "other" expenses and - - boom boom boom - $1800 gone. Spend it wisely and you'll do ok.