Here is the start of a fake 3d engine build using the mode7 plugin. If the mode 7 plugin also supported an undistorted sprite that still followed the rest of the plugins rules I think the only thing you'd have to do is convert the y to z.
As far as my construct classic game goes, there is no mode7. It's entirely sprite skewing and distortion and then converting the y axis to the z axis. The math to convert y to z is simple and once you've done that you just give the sprite a new y pos on screen. There is no bullet sprite. I believe I have the program set to "always scrolly to scrolly+12" and instead of the sprites coming onto the bottom of the screen they fade in small from the back.
Here is an example of the code in CC:
<img src="http://designchris.com/maddi/3d.png" border="0">
Here is the trial and error crapola I did yesterday and the night before. I call it going nowhere fast ;)
Construct 2 mode7 + scaling sprites not working so well yet.
If someone can figure out the scaling sprite bit that would be great... I don't really have the time or knowledge to figure out the math :)