Re: What type of gas?
Most stern drive type boats were designed to run on 87octane.
Some, like my former OMC 460 actually had 2 types of fuel that could be used. If you could get 89(I think) or better octane then you could time it 15* BTDC. Otherwise OMC said to time it to 10* BTDC when running 87 octane.
The answer is to check the manual for the engine you are using.
All newer Mercruisers are designed to run on 87 octane with some exceptions for the hotrod engines.
Mercury Fuel Recommendations
If yours is pinging and it's not one of the hot rods, you might need to either re-time it or or you may have seriously "carbon'ed up" plugs, valves or combustion chambers.
"Pinging " usually only occurs under load. It usually doesn't happen when "reving" the engine with no load. If it's really pinging with no load you may have other problems going on.....and it might not actually be pre-ignition "pinging".
Regards,
Rick