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02 advise needed . heads and driveshafts

I am about to start my winter 02 projects. I am starting to run a little
low in my toy budget. I need to finish these projects on the cheap but
still want to do them right.

First is to install a 5 speed. I want to find or shorten the driveline at
a fair price. The shops want between $375 and $450 to shorten and balance 
the whole unit.Is there a more reasonable way? I though of pressing out the 
Ujoint and sending the short front piece to be shortened and balanced. This 
should not affect the overall balance of the unit.and should cost less?
I have heard that on later drivelines you cannot be replace the Ujoint?
Questions? comments? 
2nd project is to install cam, headers, and side drafts. This is basicly a 
320 engion,(E21 stamped on head) Again I have the major compontants. 
are there other heads that will go on this engion that will not screw up the 
compression ratio but might breath better?
Are there valve train compontants that one should fit to improve hi end performance 
and dependability eg springs? rockers?  Again I am hoping to find certain
years or motors that have better assemblies than others.

Thank you(all) in advance.
Ray Kirkland
round tail light 02 
635Csi.