To scrap or not to scrap that is the question !

I have a sharan "r" reg 97 with an afn tdi 110bhp engine (150,000) body pretty good, nice spec. Spent about £300 changing pipes, batt etc generally bringing it up to good health which it was until the cam jammed, broke 2 valves, destroyed the head and a piston not certain how this came about.
I have searched for a replacement engine (water has rusted the block & pistons) for about a year now. I am not to fussy but would like to hear an engine & pressure test it. Most are eBay dubious jobs or units well over a thousand !
It's against my nature to brake it up but I have lost a lot of confidence in this car, how would you approach this problem ?
A large number of learned people frequent this site with incredible foresight and knowledge, I don't want to scrap but what's the alternative.
Thank you for any help.

Hi mate, well you have 3 choices imho
1, sell it to a scrape man, maybe get £150 max
2, break the car yourself and list the parts on Ebay, then sell whats left for scrape (prob get £90 after you have raped it of bits)
3, Take a gamble on an engine or buy an MOT failed sharan/galaxy,alhambra and use that engine, if you do this the donar car can then be stripped and if done over time will prob pay you back more than what you paid for it as a whole

im not one to cut and run and tend to repair rather than scrape but only you know what to do, if you are able to take parts off the car and sell them on the bay thats a good way to do it