Measure the distance between the rear tips. Probably 126mm, indicating frame is pre-1989 when 130mm spacing began. (not a certainty though)
Yes the very short top tube would seem to fit the theory that it is a funny bike with a 700c fork substitute.
To find out for sure, try the following test:
Step 1: Take it for a ride with a 700c front wheel and note handling characteristics.
Step 2: Replace front fork and wheel with 650c, and swap bars for cow horns, and repeat test ride.
Results:
If it rides like a pig with the 700c front wheel, then it is most likely and old 80s funny bike.
If it rides like a drunken pig on speed with the 650c front wheel, then it is absolutely an old 80s funny bike.
(On a more serious note, it could legitimately be either 650 or 700c TT frame as Cougar made both in the late 80s and early 90s)
