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If that price includes labor ONLY, then I would say that it is a good deal. Most shops charge upwards of $75.00 per hour for labor these days....so, at that rate, $650 works out to 8.75 hours....which is probably about right, depending.
If that price is somehow supposed to include any parts, as well as labor - then it is IMPOSSIBLE. A USED gearbox alone will cost much more than $650, in most cases. Perhaps one from a wrecked car could be gotten cheaper, but I would be very wary of such a thing. In any case, I can't see that all of the parts needed (gearbox included), would be much less than $1500....as an absolute minimum (and probably more like $2000, actually). So, your mechanic MUST only be talking about LABOR.
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