I would much rather go with the 5.0 V8 but why would you recommend this one because it is easier for 4wd?
The Essex V-6 (3.8, 3.9 & 4.2) has the same bolt pattern as the Windsor V-8 (255, 289, 302 & 351*). So, a M5R2 bolts to back of your 5.0. And the M5R2 plugs into the hydraulic clutch of your Ranger - same slave cylinder as the M5R1. Lastly, the M5R2 has a 3.97:1 1st gear; useful for a 4wd truck.
And there are M5R2 with transfer case extension/shaft. While the Ranger 1350/4 cases won't bolt up, the F-150 cases do. As do a number of Jeep & Dodge ones.
Note: It is easier to find 4.6 V-8 M5R2s in 4x4s, and 4x2 4.2 M5R2 in which case, you need to swap the rear housing/shaft into the v-6 transmission. But you are left with enough parts to make a 4x2 4.6 V-8 M5R2 that you can sell to get some of your money back. The 4.6 Modular V-8 having a different pattern than the Windsor V-8, the bellhousings being integral to the transmission case.
There is a T-5 case with transfer case extension housing/shaft, but it is even more rare than the V-6 4wd M5R2. It's most commonly found in mid 80's Heep CJ's coupled to a Dana 300.
Note 2: The T-5 gear set that is rated for v-8s has a 2.95:1 1st. The gear set in the Heep T-5 has a 4.03:1 1st and isn't known to hold up well behind the I-4 in Heeps. So, again, you would be cross pollinating a V-8 transmission with 4x4 transmission. Then, you need to fabricate a hydraulic slave cylinder for the T-5. (Or if you are real glutton for punishment design a cable clutch for the Ranger). And you are left with a mediocre 1st gear for wheeling. (I suppose it would be OK for a mall crawler).
Clear as mud now?
*I'm probably missing a few factory Windsor V-8 combinations, but those are the common ones.