I gave my stepson a beautiful 02 S60 AWD that had been mine previously.
I had taken really good care of the car when I had it but now it's in not as caring hands.

My stepson told me yesterday that the car had broke down on him, and that he had to leave it parked. He could told me that it started making a really loud noise and that the engine was shaking so hard that it seemed like it was going to fall out.

I when to when it was parked, raised the hood and started the car. The engine sounded normal at an idle and even with a slight rev. When I placed the transmission in reverse, or drive with my foot pressed on the brake, I could feel the slipping and some hopping of the engine and transmission.

I drove it back to our house which was about 5-blocks. The slipping was obvious when taking off at a stop light. I checked the transmission dipstick first. NO FLUID, or maybe a trace on the very tip of the stick. I had transmission fluid that I purchased from volvo when I did a flush about 2- years ago. I brought the level up to the normal range ( checked while warm ). I then decided to check the engine oil. Pulled the dipstick and NO OIL. Not a drop! I added a little over 3-quarts to bring it up to normal.

I drove the car around the block and the slip was still happening but not as bad.

Is their anything that I can do to troubleshoot the cause of the slipping, or does it sound like it's due for replacement?

I had a talk with the kid who has only had the car since August 4th, 2014 about checking the fluids.

One of my bigger concerns is that the car didn't use oil ( that I could tell ) when I was driving it. It wasn't leaking oil or transmission fluid either. The kid parks in the same place at our house and I haven't noticed any leakage.

2002 S60 AWD, approximately 110K miles

Let me know your thoughts