1988 Engine Swap
 

Can anyone tell me if the block and head for a 2005 4.0 will interchange with a 1988 Cherokee 4.0

Block will swap but the head will not match very well with your intake/exhaust manifolds. You need to retain the 88 manifolds without and expensive conversion to a later style throttle body and exhaust header.

1988 Engine Swap
 

I plan to use the 1988 intake and exhaust manifolds. I was wanting to make sure the alternator, power steering and air condition units will match up as well to the 2005 block.

Yes basicly the whole thing will swap but the head surface where the ports are do not match well. Alt and PS will be fine you may have to use the 88 bracketry.