I have run this adapter with a paper gasket under the carb, and can tell you that in this configuration, the secondary plates hit the aluminum body and could not fully open. I installed the thick Carter gasket and away she went.
I can also tell you that the TQ is way more carb than the 318 mule can use, so it will work thus, even funneled down and "choked".
But I sure wouldn't run it in this configuration, ever again, on my 11/1, 360. After I installed the correct spreadbore intake under that 850 of mine, it was a different engine. and, when the Airgap came out, I bolted one of those on, with a Holley, and never looked back. I tried various sizes, and settled on a 750DP.
For testing purposes, it will be fine; and IMO, making sure the carb works, before breaking in a fresh flat-tappet cam, is a really good idea. As to testing the ignition, well, as long as it revs to 2500 and doesn't drop sparks on the way to the plugs, any old ignition will work for break-in. But again, knowing that the ignition will light-off, right away is of great comfort to me, and to the life of the new cam. Good on you for thinking ahead. Happy HotRodding.
Now, Whenever I break in a fresh cam, I take the thermostat out, and replace it with a restrictor, I use straight water, and I keep running water handy; I friggen hate worrying. I make sure, that the daymn cooling system also works, and after the new engine lights, without regard for the actual numbers, I reach back there and advance the timing until the rpm peaks, and then let 'er fly. This will help prevent overheating that can happen when the still burning hi-energy exhaust gasses leave the chambers, running right below the water jackets, at some 500/600 or more degrees. Better it is, to get the temp down a couple of hundred, while still in the chambers . After the cam is broke in, I can return the timing back to sanity.