Yes, BUT...

Those 2 blocks are 2 different critters.

The engine will bolt up to the motor mounts, transmission will bolt up just fine as well. It must be that the engine, and matching head that you use. You cannot use 1979-1984 22R parts (like head, timing kit, etc) on a 1985-1995 22R engine. Internally, the guts are the same, but you'll need to use the exhaust and intake manifolds from the 81 for your 87. Just need to keep in mind for future maintenance.

85 4Runner - With NEW Marlin 4.7 Gears!! It's a whole new beast!