What you say is EXACTLY what you need to do. Grab the engine out of the 85 and all the wiring out of the million miler. There are a bunch of C500 issues which could come up and bite you if you stay with any '84 wiring or even reworking a manual wiring harness to work with the automatic. (Oh, and either don't forget the cooling tubes out back or get yourself an '88 alternator)
I personally would use the 4-speed, but that's just me.
I combined a mint '88 frame with a tired '87 auto and converted to a Getrag 5-speed. You'd think that it would be a hassle, which it was not; however, the wiring was a pain because everytime i turned around there was more reading and re-routing to work out.
If you could start with the right wiring, then it could end up being a weekend project !!
[This message has been edited by BigB (edited 10-30-2007).]