The adjuster on the pearch was all the way in, however, there was no slack so that must have been the problem. No matter how much I adjusted stuff, I could not get any slack in the cable to be felt in the lever but thought it would be alright. I was wrong. Suppose to have like 1/4" slack right?
I do use ATF Type F and I did the leakdown test already.
Yep, something like that. You were dragging (slipping) the clutch the whole time you were riding. That's what burnt it up. I'm not sure why you couldn't get any slack though. Are you sure you adjusted the center screw on the pressure plate right. It sound like it from what I read. You made sure the arrows lined up under your left carb. You my have the cable kinked or the cable is sticking.