Removing the air inlet silencer is a basic, must-do 'mod'. Easy, quick, free and it helps engine breathing by removing an unecessary restriction from the air path. Installing a K&N air filter is also pretty basic and yes, it will also help performance by allowing better breathing.
Not quite the same as a 'Cold-Air intake' but frankly, close enough in terms of performance gain.
Both of these 'mods' will gain you about 5 HP over stock; most of it from removing that useless air silencer.
You won't 'feel' much difference in performance, other than a slightly better 'throttle response' but these help - and we all have to start somewhere.
The 4.10's will change the entire 'personality' of your Mustang and really help low-end performance. You will feel the difference!
Try advancing the timing a bit, too. 14 degrees BTDC is average. You'll have to switch to 92 or higher octane gas, but performance always has a price. Timing advance is a basic, free 'mod' and worth a tad better performance
Good luck.
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