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First off, grab a copy of Volvo Service Manual TP30868/2 (or any service manual that covers the BW55, the 30868/2 manual happens to be the final version). Skip Albright tends to sell them on eBay among other people. Right now, there's only one available and it's the older version that covers only the BW55/AW55 (which will do fine for now unless you're planning an AW70/71 swap).
Rhys is correct, there are no bands in this transmission. Perhaps your teacher was thinking of the BW35, which does have a band adjustment which is accessed from above through the floorboard of the vehicle. However, these transmissions were used on the 140, 164, etc. The only 240 vehicle that they might have been equipped on would have been the 1975 model year.
My best guess as to your problem would be the following items, with the most likely and easiest to check at the top (much of this is taken from the TP30868/2 manual):
1. Low trans fluid level.
2. Incorrect trans fluid added. (should be ATF Type-F for 240 cars 1975-1983)
3. Cooked/burt trans fluid.
4. Kickdown cable needs adjustment or replacement.
5. Gear selector out of adjustment.
6. Clogged filter/strainer.
7. Problems in Valve Body (sticking 1-2 shift valve, piston o-ring damage, etc)
8. Problem with governor (unlikely)
9. Other not-referenced fault that would require replacing transmission.
Your transmission might benefit from a good filter/strainer cleaning and a refill or flush with some synthetic Type-F. We were just discussing it in the following post regarding manual transmissions (that use Type-F). I would bet that Amsoil would be the cheapest source of synthetic Type-F if you decide to go this route.
http://www.brickboard.com/RWD/index.htm?id=742215
God bless,
Fitz Fitzgerald.
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'87 Blue 245, NA 231K
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