Also, if you remove the propeller shaft and the noise goes away, you indeed are getting power to the rear wheels. How does the car react when driven on the rack? All four wheels spinning? Also have seen the engine mount on the R/F subframe, under the harmonic balancer cause issues on the AWD versions.

The bevel gear is difficult to reseal, many special tools are needed and typically the crown wheels will strip when removing them. Not to mention, many different versions have different seals. In my opinion,its best to get a remanufactured Angle drive from volvo. As far as the driveshaft goes, the p...

I didn't address your angle drive question. The collar is not stripped, if it were, you would not have any power to the rear wheels. Also, the pinion bearing is probably destroyed. The pinion is the part which the drive shaft or propeller shaft mounts to, it should have very little play side to side...

I have seen this a few times. Installing the incorrect tire size on 1 wheel at 1 axle, such as the spare or different sizes from axle to axle will cause that noise,-- sounds like you're getting rear ended when slowing off the highway-- from the rear torque tube clutch and will ruin the angle gear. I...