Steve
I have used worst. You don't need to radius the area, just run as it. Will be ok. If those sharp edges are concern, just file them down a bit.
What caused that is sometime ago a wheel hub rubbed on that area, either was run with real loose or broken outer wheel bearing, or maybe run without a bearing to limp back to the house, anyone's guess.
There can be wear like that on Model T spindles that were retrofitted with Model A front taper wheel bearings.
The Model A will fit the cone, but...the Model A bearing is not threaded. So some used them if the correct left or right Model T bearing wasn't around. It has smooth bore and will ride upon the threads of a T spindle.
Just use a new taper outer threaded bearing with a new cone in the hub, the T lug washer, and spindle nut (lefts & rights needed for bearing and nut) with cotter and that spindle will last another 80 years!
Pic: Model T threaded bearing, on right Model A with smooth bore.