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Unfortunately, Mr Tool is probably correct. A timing belt failure on this B6304 engine inevitably results in serious internal engine damage - typically, bent valves and possibly cracked piston(s). You MIGHT not have suffered this if the belt only skipped two teeth (how do you know this?), but the only way to be sure is to install a new belt, idler and tensioner, with the camshafts properly timed and check compression.
Special tools are needed to ensure the camshafts are properly timed to the crankshaft once that phasing has been disturbed. A dealer or quality independent Volvo shop would have these tools. Skilled DIY'ers have done the job without the Volvo tools, but a shop will charge in the neighbourhood of $500 parts and labour for this.
If compression checks OK, the car should start and run smoothly. If it doesn't, you've just wasted the money on this work, unless you proceed with a disassembly, inspection, and repair of the engine, in order to get a decent selling price (which might not be much more than repair costs).
With a non-running engine the car is worth little.
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Bob: Son's XC70, my 83 240, 89 745 (V8) and S90. Also '77 MGB and some old motorcycles
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