Re: Lets play a game called "where the heck does the wire go"
The cylinder lying on the top of the VR is a radio suppression filter, and as Brian suggests, Post #3, it should be mounted to a VR mounting bolt to ground the case.
These suppresion filters were added to suppress the spikes the mech VR generated when the relay contacts inside opened & closed reducng noise in the AM radio. Another filter is installed on the coil + terminal for the same reason, point set opening & closing. There may or may not be one installed on the blower power wire. These filters were installed on the power supply wire and IGN side because this is where radio gets its power. Modern and aftermarket radios have filters built in plus later models, 1974 and up, came with electronic VR's and electronic ignitions, no spikes.
Along with the filter were the ground straps, the copper braids, from the firewall to engine, one for L6, two for V8, and a strap on the pass side firewall body mount to subframe.
We Elderly mechanics used a simple transistor AM radio to set initial timing. Set the timing marks were you want, ie, 6° BTDC, turn on the AM radio and set it next to the dist, and turn the dist in the normal direction of rotation for point set opening and listen for the 'snap' from the radio. Tighten dist. Done.
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