Sounds like you're going about it right. The open throttle is to make sure there's no restriction to incoming air and makes it easier to crank.
That's still quite low (the 113s/123s in my tractors are in the 80-85 range and don't require any special effort to turn) and I doubt it would even fire with compression as low as what you're showing.
Just sittin' in the armchair I'm gonna guess you've got some combination of stuck valves, and badly carboned or eroded valves or seats.
On the rings side, they could be anything from completely worn out to broken and missing.
You don't say (and may not know if you just came into it) what the worst known condition of the motor is. Ever stuck? If so, how did they get it loose? (Towing can do nasty things like bend valves and lifter, break rings . . .)
I don't know that motor at all, but if it has a typical valve cover, I'd start by pulling that and looking things over.
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