Re: How to measure backlash with a dial indicator?
Here's a picture of how I had mine setup. A case spreader is absolutely not necessary. If you have to use a hammer and a flathead screwdriver, or even better, a brass drift, to be able to tap the shims in on each side, then it will be tight enough to preload the carrier bearings properly. You want your backlash to be .006"-.010". That's the proper range. Once you get the backlash set right, you might need to add about a .002" thick shim to each side to get the preload tight. Just make sure to use the same thickness on both sides so you don't change the backlash.
89RS w/350 TPI; 69RS/SS w/450 HP 350/Muncie 4-Speed "Too weird to live, too rare to die."