Alright, so I think I figured it out. I think the cam was 180 from what it should be. I rotated the cam so that #1 cam lobes were facing down. I think this allows the #1 IN & EX valves to be closed, which would be on the compression stroke. Meanwhile, if you look over to #4, the EX lobe has just passed & you're coming up on the IN lobe, for the air/fuel mixture to come in from the carbs.
Once I changed the cam 180 from what it had been, I was able to set the rocker arms as the manuals say. Does this sound right to everybody?
Thanks, calj737 for pushing me to learn this on my own.