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1) I'm only able to use LiveCycle to build a form from scratch. Is this normal?
No. You can also use the form tools in Adobe Acrobat.
3) I've tried to enter the script without going into LiveCycle using advanced editting tool bar but most of the tool bar is greyed out. Double clicking on the drop-down box doesn't being up any pallets allowing me to enter a script.
You can't modify a LiveCycle Designer form in Acrobat.
When I go to the Form tool the 'Add Edit Fields' is greyed out, only the Wizard is allowed.
If I use the path File-CreatePDF-FromBlankPage I get a blank form but there are no tools/objects like a dropdown box available.
All that aside, any idea why a script doesn't execute?
Maybe these videos on creating your first form in Acrobat will help you out-
Hope this helps,