The total capacity of the engine is 5 quarts of oil when the engine is brand new with no oil having been added. Inside of the oil pan there is a baffle that holds oil right under each of the connecting rods for each piston. As the crank turns over the bearing on each rod dips into the pool of oil for lubrication. In the valve chamber there is a built in reservoir of oil to lubricate each of the valves as they go up and down. The reservoir is about an inch deep. When you added both of these together you will find that they equal about ½ to 1 quart of oil that remains in the engine when you change oil.
When you change oil you should drain the oil from the pan put the plug back in the bottom of the pan then fill with new oil to the full mark on the dip stick. Start the engine and let run for a couple of minutes to make sure both reservoirs are full. Turn the engine off and let the oil drain down to get an accurate measurement. If the engine still need a little more then add to full mark. Do not over fill because to much oil can be as harmful as not enough oil and the engine will throw the excess oil out of the engine.
A normal oil change should be between 4 and 4 ½ quarts of oil.
Greasing the water pump has the same effect. Too much grease is just as harmful as not enough. If you over grease the water pump the excess grease will end up in the cooling system and will eventually plug up the radiator. The grease fitting to the front of the water pump never needs lubrication. That bearing is sealed and the fitting is there just for looks. The rear fitting requires very little grease to grease this fitting, unscrew the brass cap and fill the cap with white water pump grease or marine grease then screw the cap back on. It should be done with caution every 500 to 1000 mile. If you look at the rear bearing of the pump and you can see excess oil around the bearing or you can see oil in you cooling water you are over greasing.