Following up on Gary's post, I find this list of 32-20 serial numbers and shipping dates to be helpful.
104319 3/22/22
105214 3/14/22
106783 4/20/22
106813 8/19/24
108615 6/22/22
The serial number for the gun in question is 106704. The grip frame has a return date of 8.21, meaning August of 1921, and indicating that it went back to the factory a full 7 months before the earliest shipping date in the list. The earliest shipping date in the list is March of 1921. Because this is a return-for-service date, it was clearly originally shipped sometime earlier.
In other words, it highly unlikely that the gun, if it were originally a 32-20, was shipped anywhere near the dates in the list. Thus, all the evidence suggests that it was a 1908-ish gun, shipped as a 38 target, because the rear sight leaf is numbered to the frame.
Gary and I agree on this, and also agree that the cylinder probably came from an earlier 32-20 that was rejected at some point in its manufacture, and its cylinder returned to the spare parts bin. Not wanting to remove metal from the rear face of the cylinder, they simply over-stamped the cylinder serial number. The barrel was probably a spare from an earlier time, and either was not serial-numbered, or its original serial number was removed, and the butt serial number stamped in its place.
Regards, Mike Priwer