I am building a 727 trans and I have read different thoughts on blocking the accumulator or leaving the spring out. Most of the threads that I searched on this were older. Just curious what the general opinions are if it should be blocked or just leave the spring out.

street/strip/both. Not even sure if those apps make a difference but here is a BTT for ya.

Removing the spring has zero affect on any upshift, blocking the accumulator will firm the 1-2 upshift. If you're not gonna block the accumulator, install the spring.

I have another question. I plugged the front servo bleed hole per the carl munroe book and ground the outside end of the set screw so that it would not stick out past the side of the servo. When I was putting the servo back together it was very hard to get the inner rod/plunger back into the servo because obviously with the bleed hole plugged the air pressure was trying to push it back out. After holding the inner rod/plunger in for a few minutes the air pressure went away and I was able to install the spring,washer and snap ring. I just want to make sure that this is correct or if I did something wrong.

You're OK the way you did it but you coulda waited until after assembly to install the set screw or just left the O ring off the plunger when assembling the piston assembly.