I would guess that the process of dialing in the B400's idle should go like this:
If the bike has the original, factory-installed air filter and exhaust header and exhaust canister, all you need to do is dial the idle knob that is provided to achieve the correct idle RPMs (you know the knob I'm talking about, the one on the flexible stalk that extends downward from the middle of the carb bank, the one that when adjusted changes, ever-so-slightly, the angle that the carb's throttle-plates come to rest at when the handle-bar throttle is released). If the intake and exhaust are stock then the factory pilot jet size and the factory pilot screw setting should deliver the correct air/fuel ratio at idle.
However, if modifications have been made to the B400's intake and/or exhaust that improve the volumetric efficiency of the engine (in other words, if the engine is flowing more air as the result of performance mods) then it will need to be re-tuned so that it gets more fuel at every single point throughout its performance envelope, which includes idle speed. Without this the engine might end up running air/fuel mixtures that are too lean which could hurt performance, or mess up the engine's throttle-response or even possibly cause burned piston crowns. In this case something would need to be done to introduce more fuel into the idle mixture. I would imagine that this could be achieved by simply opening up the idle screw a little bit (making it richer than the factory-spec setting) and if this action caused the engine's idle speed to go above factory-spec then you would ever-so-slightly close the throttle plates with the plastic knob mentioned earlier.
I know that you just got this Bandit, and, of course, it's 22 years old so just about anything could have happen to it during that time.
Along those lines, this thought just occurred to me: Does your Bandit have its plastic idle knob? As I mentioned it is the knob that is attached to a flexible stalk that is in turn attached to the middle of the carb bank. When not needed this flexible stalk is meant to be "hung up" out of the way on a little hook provided on the bottom-left-hand side of the carb bank, pointing toward the left-hand side of the bike.