This is what the front brake assy. should look like
If the spring is fully compressed then the brake arm is not positioned correctly. The angle of the brake arm should be at about 7 oclock. If the position of the arm is correct, about an inch of the threaded end of the cable should be extended through the arm stop. You can then adjust the arm side of the cable as well as the brake handle adjustment.
Make sure that you have the correct brake arm for the front brake. The front brake arm is longer than the rear....they can be used incorrectly on either brake assembly.