Re: electrical meltdown 75 hp mariner (1987)
Hard to tell from the picture but it looks like it may be the rectifier. If so, this would have nothing to do with the power tilt motor problem.
You can easily replace the rectifier but I'd be really concerned about why it melted like that in the first place. That is not a typical failure. I'd really really be worried about the stator windings since they are known to have issues and you've had a major electrical fault with the melted rectifier.
If this motor is not running I'd be real wary. If it is running it needs to be checked out thoroughly and even then assume that you may have issues with the electronics sometime down the line; price accordingly.
On the PT&T problem, it's very common to have a bad solenoid. You can short across the main terminals of the solenoid to see if the PT&T motor runs. If not, the motor's got issues. Caution: watch for sparks when shorting across the solenoid, you don't want to spark a fire and melt something else!
You can look up parts for your motor here at iboat, for comprehensive parts diagrams go to this site, where they're organized by HP then Serial #:
http://www.mercruiserparts.com/SelectModelType3.asp?class_id=2
HTH...........ed