Re: Cut out switch adjustment question
It's no bigee to test the cutout switch out of the water. T Put the drive in neutral, start the engine and move the 'V' plate to push the roller out of the 'U'.
The engine should die if you hold it out of the 'U'. Sounds like you already determined that the engine is dying when thew roller is 1/8" out of the 'U'. It doesn't have to or even should be adjusted to kill the engine at the TOP of the 'U'. 1/8" seems a little too close but the total movement when shifting should only take a micro-sec.
The actual actuation of the cut-out switch is made NOT by the shift cable, but by the feed-back thru the cable housing which does the pushing that moves the 'V' plate.