help! new cj7 owner

help! new cj7 owner
I am buying a 77 CJ7 tonight and it is equipped with an AMC 304 V8 and a GMC TH350 transmission backed up Quadra Trac Transfer case. Guy says transfer case is bad and the jeep will not move, says you can jack the rear of the jeep and and the wheels will turn but the wheels wont turn on the ground. does this sound like a transfer case or a tranny issue? also what transfer case do i need to replace it with? thanks guys
If the rear pumpkin is off set to one side (it should be) you will have to use another QT transfer case.
Also it should have a GM Turbo 400 not a TH350.

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