Just a small update.
I was able to return the bad engine for a full refund. I am never going back to that place again.
Also, I ordered another engine from a very reputable place today. Unfortunately, they are out in CA, so shipping to my house was $450

. The total price came to $1100. The engine will hopefully be here by next Friday, and I am planning on working on it through the entire weekend and having it up and running on Sunday. That is if everything goes as planned, which it never does LOL.
Specs on the new engine are:
1996 850R engine, 92k.
Perfect compression across all cylinders. :D.
Also, since I've had nothing to, I've taken some time to do some small misc things:
Polished some engine pieces:
(these were black and covered in grease when I started, no buffing wheel was used yet)
Detailed the crap out of my interior (looks new for 182k), and wired all of my sub and amp wiring under the carpeting:
Can anyone spot the crack? (this is why the engine I just returned was bad)
How she sits now: