92 Corolla

ok, my best friend has a 1992 Corolla. we are trying to make it a sleeper. now, i have heard that you can swap in the 3sg-te turbo MR-2 engine in it because since the engine is rear mounted rear wheel drive, when you mount it to the front, it will become front wheel drive. is this true? if not what is a good swap for this car? what are some good boost levels that this engine can handle stock? any help would be greatly appreciated.