A real formula atlantic engine should do better than 14 sec on quarter mile.
Add slicks and a sequential gearbox and you should be there.
Although this is taking your farther from your price limit
Indeed, the engine alone would be beyond his budget. The crankshaft costs ~$5500 new. Maybe in a car that's under 1500lbs you could come close, but I still doubt it. These engines are not exactly meant for drag racing. It's like people who put a 20v 4age in an ae86 and expect to run 12's. They'd be lucky to break into the 14's.
It all depends on the setup, but I think there would be easier/cheaper ways to get what he wants.
Martin Harjani's Hasselgren AE86
240@8500 (hp)
136@7600 (torque lb-ft)
7.2 in 100kph
15.2@102.2mph (quarter mile)
157mph/253kph (top speed)
ENGINE:
TRD Formula Atlantic Spec 4AGE Engine
1.6L with 12.8 to 1 Compression Ratio
TODA Racing camshaft IN 288/ EX 288 9.0 lift
TODA Valve springs
TODA cam gears
Special SS valves & valve guide
TRD 0.8mm head gasket
Escort Racing 81.25mm pistons
TRD connecting rods
TRD Crank Shaft
Special Modified oil pump
Haltech ECU
Setrab 19rows oil cooler
Griffin radiator
TRD close ratio/original transmission
Tilton Twin Plate clutch
Carbon driveshaft
KAAZ 2way LSD
4.8 final gear