Yes, that's about right for an engine with that many miles, especially one that wasn't PERFECTLY maintained.
The smoke could have come from the valve guides, but it's just as likely to have come past the rings. And yes, that's what caused the oil to break down & carmelize all over everything. I recommend you fill it with 20W50 + a quart of good name-brand (I like BG & Berryman) engine flush to break up what's in the bottom end. Follow the instructions on the bottle TO THE LETTER or you could cause severe damage. It will involve several oil changes in quick succession, so have a case of oil & several filters on-hand.