Combines 2900 from M2 into 7040IJ

You should be able to. Is it a good ideaIJ That is debatable... You will need some extra parts like the front_rear engine mounting plates from a 7010_7020 and will have to adapt the air intake system. If you have a cheap source for these other parts it may work. Otherwise you may have as many $$ tied up as just finding a 3500 engine.

we have a rebuilt eng that will bolt in complete. you can email for info

I don't have the budget for a rebuilt block, and have a guy down the road with a parted out 7020 I can get for the mounting plates. Thanks

You better get his radiator too and air cleaner plumbing and flywheel and possibly torque limiter (if it's a pshift) and maybe siderails because front mtg holes are in a diff spot and I'm sure there's more so by the time you're done you'll think it wasn't such a good deal.