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I've read the other posts, and I can tell there is more expertise in them than I can offer. Some ideas though -
Replace the accordion hose if that's not been done. I found in several of my 240's that little holes occur on the bottom side and are difficult to see. Any air coming in there is not measured by the AMM causing erroneous readings, maybe a too-lean mixture picked up by the O2 sensor.
The spec for my 240's has been 12 degrees BTDC. Mine have not been "California" cars, so your 10 degrees BTDC may be your spec. By the way, changing to 14 degrees BTDC is advancing the spark, rather than retarding it.
Keep trying, sounds like the rest of the car is worth the effort.
Good Luck,
Bob
:>)
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