Re: mercruiser outdrive water in the oil
You may actually need to do a vacuum test rather than a pressure test. From what I've read, your not leaking oil, just taking on water, correct?
I'm an OMC guy, so the merc's may be slightly different, but on mine, there are double seals -- one keeps the oil in, the other keeps the water out. Even with single seals, it's possible for a seal to hold pressure in one direction but not the other. (Oil pushes out, water pushes in)
Doing a vacuum check would simulate the pressure of the water trying to get in. Listen with a piece of tubing for the hissing noise.
If you are not leaking oil at all -- just taking on water -- odds are a pressure test would not find anything........
Hope this helps......