Since you're looking to do your own engine decoding, I'll sit back and let you have your fun, then check your work afterwards - lol!
Yeah, that starter shaft play is out of bounds for sure, but looking at the last picture with the shaft end inside the bushing, I'm trying to see where your finding a tenth of an inch of movement. Maybe I'm not understanding what part your measuring/describing???
You should take a look at the flywheel ring gear for excessive tooth wear or even bad sections. If the starter drive gear is trying to engage on a badly worn ring gear, you'll get the same grinding/no start results.