Re: 1976 johnson outboad 40hp only goes 12 mph
Check compression. What are the psi readings?
With s/plugs removed, check the spark which should jump a 3/8" gap with a strong blue lightning like flame... a real SNAP! Does it?
If you're not using Champion UL81J s/plugs gapped at .030, try them. If memory serves me correctly, that's what the engine calls for as per a OMC bulletin.
With engine NOT running but in gear, at full throttle, check to see that the throttle butterfly is opened fully (horizontal).
If you didn't manually clean the high speed jet that is located in the bottom center portion of the float chamber, do so with a piece of single strand steel wire.
Let us know what you find.