The master cylinder should be adjusted so the pedal in its relaxed position is not pressing on the pistons in the master cylinder. You should have free travel between the pedal and pushrod. When its to close, the master cylinder is always applying pressure to the brake shoes. The wheel adjustment should dictate how close the pedal comes to the floor.

7 to 9 clicks or star points is where I back brakes off to. Its close enough to stop ok and still not heat up the drums.

Joe