How far should the pitman arm on the sector shaft? I assume it’s not on far enough, but that’s about all I can get.
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That looks very similar to mine (I had to replace mine from wear - the ball was no longer round). Feel for the shaft on the back side of the nut. On mine, the shaft is flush with the nut. That's all that can be done (I did put some torque on it) as far as the nut securing the arm to the shaft. The splines are tapered so when it's tightened up, it's on. I would suggest that you try to flatten that lock washer down.
The most important thing (at least to me - after ensuring the nut is secure), will the arm swing full throw without interference? Does it bump into anything when you turn the wheel, stop-to-stop? I jacked my front axle off the ground to check this.
The drag link could be installed backwards (I did it just to see if it could be done - even though it didn't look right to me). The grease zerks should point away from obstacles so you can get a grease gun on them. I use the Service Manual to help with zerk orientation.