2.) Should you be able to turn the compressor wheel with your fingers or a small piece of wood? (item number #2 in the manuals) Mine is stuck solid.
3.) And finally where do you start on a dead turbo? The advice in the Haynes manual is.."Due to the special techniques required any checking or diagnosis of suspect problems should be left to your dealer." That's all it took for me to try to tackle this myself ( well sort of with a lot of help from some of you kind people out there) ! I had this car checked by my local dealer in Santa Rosa before I bought it and IMHO they did a really bad job. They pointed out the antilock light on the dash being on, the rear window broken, and the brake fluid was dirty. ( I am not blind and anyone could have seen that IMHO) I had a compression test done ($200 charge) and I am above 300 on all but one cylinder. They missed the failed right front wheel bearing ( squealing very loud) the missed the warped front brake rotors and missed the dead turbo. I am not clear if the receptionist did the work or one of the mechanics :-) In any event I am not using the dealer again! One of the other local mechanics took the car for a test drive with me and confirmed my suspicion that the turbo was not functioning. Thanks for any help. The only post I could find on this topic goes back to 2001 and is below from T.G. Lambach
As the turbo's pressure builds the ALDA allows additional fuel to be put into the engine for it's the fuel that makes it go, not the turbo's boost. That said, the only under performance will come about if the turbo's wastegate is adjusted to open prematurely, i.e. below 10 -12 psi when the engine is under full load at 4K rpm. Put a pressure gauge on the intake manifold to test the turbo's boost before doing anything with the turbo. The wastegate is what's to be adjusted, if anything.
M-B even included an overload protection switch (on the intake manifold) to avoid the engine running away if the wastegate were ever to stick shut, That tells me, anyway, that the ALDA will react to as much boost as is delivered to it and the M-B engineers wanted a way to cut off the boost being delivered to it!