Actually, using a 1276 speedo (31/9 final drive ratio) in place of a 1318(32/9 final drive ratio) MAY actually yield a more accurate measurement of true speed, as most of these airhead BMW speedometers measured between 2% and 6% "higher", and the difference in ratios is almost 4%.
BUT, the 85 MPH speedometers are also generally considered the MOST accurate speedometers of all the BMW airhead speedometers, so that may negate any potential improvement from the above example, by substituring a less accurate speedo intended for use with 4% taller final drive.
Getting a speedo repaired can be cost effective in many cases - at least it can often (as with Palo Alto) be done AND retain the odometer value, so that you don't have any questions to answer later with registering or selling the bike (yes, the odometer is correct, sir).