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The suspension knock is probably the lower control arm to swaybar bushings. Take a look and you should be able to see the problem under there. You can also lift the car off the ground and see if the wheel moves forward and back. If the bushings are the problem, just buy a pair off eBay for an '87-'91 Camry (get the full arms with new bushings and ball joints).
As other said, it could also be upper strut mounts, struts, ball joints or axles. Whatever it is, it shouldn't be very expensive if you can do the work yourself...
-Charlie
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2003 Impreza WRX Wagon 5spd - 2.2L stroker + other goodies
1989 Camry Alltrac LE 3S-GTE 5spd - SV25/ST205 hybrid
1990 Camry 3S-GTE 5spd - parted out / junked
1990 Camry DX 3S-FE 5spd - The original white90dx; gone but not forgotten
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