Planning an engine build. Advice?

This is my first post in a while here. I've been really busy (college, full-time job, internship). I'll be graduating in December...finally. It looks like I already have more than one job possibility lined up once I get my degree, so I'm planning on a major engine build-up on the car. I'll be quitting my current job 2 weeks before I start the next one, so that I can take a 2-week vacation down south. On the way, I'll be dropping the car off at MPH. I'm planning on completely rebuilding the engine with forged internals, either having the heads ported or buying a new set of ported heads, and having the 262's changed out for blower cams. I'm planning on getting it ready for a KB 2.1 or maybe even 2.6. I should have my 4.10's installed, suspension, and rims/tires by then also. Here are my questions:

1. Would it be better to just build my engine, or just have them put in a new forged 4.6 and just sell my current engine later?

2. Would this combination be able to put down over 300rwhp n/a? (I imagine it easily should)

4. I will have a budget of about $7000, can this engine build be done for that?

3. With this combination, will I be able to safely put down 500rwhp on pump gas once I get the KB installed?

I know that some of you will say "Well, 'Tink, why not just trade it for a cobra?," but I don't want to do that. I want to have a 500rwhp, streetable SN-95 with a 2v. I'll never get back the money I've got in this car, so I don't see a point in letting her go, plus I've grown attached. I'll still buy an 03-04 cobra later, but I want to build up this car first.

Thanks guys. $7000 is my budget for JUST the engine build up. After that, I know I'll still need a new clutch, fuel system, and other supporting mods for the supercharger. Although, I hadn't thought of the tranni yet. You're right about that. I should probably go for a TKO 6-speed for I do the SC. Anyway, I'm sure now that my $7000 budget will be enough to build up the engine itself so that it's ready for a KB. I think the KB 2.1 is all I'll need to meet my 500rwhp goal once the engine is forged. If it's going to be the same price to drop a new forged block in as it is to forge my current block, then I might as well get the new engine. Then I could sell my old PI'd & Cam'd 4.6 to my best friend (he's about to by an SN-65) and get some of my money back.