1 1/2 turns out from full in (until you first feel resistance) on the air mix screws.
Yea, use starter fluid not water, if the engine starts to rev when you spray it on the boots you've got a leak. While you are staring at your running engine with a can of starter fluid in your hand you may as well spray some in the PTO side crank seal, if the engine starts to rev then that's got a leak too and you should be looking at a lower end service before you blow your crank bearings.