Eric's redneck coil tester works fine for checking if a coil will "make a spark" at a single point in time. That can also be done using the distributor (if it is a breaker point version) in the vehicle as he pointed out.
A similar test can also be done "sometimes" regarding an electronic trigger distributor but ya better dam sure know how to do that or you will blow the electronics on an electronic ignition system. Normally that is done using a dedicated "trigger box"-type tester, though there can be redneck workarounds for that also...I have a few of those but I will not discuss that kinda stuff here as it always leads to parts damage when folks don't follow directions, then they blame me.
In the case of the various systems that IH used on sv engines, the ignition coil specs are virtually the same for all versions, whether breaker point trigger, a delco "mag pulse" trigger, a Holley gold box trigger, or a prestolite electronic trigger. That greatly simplifies stuff as "one coil fits all".
But that does not test a coil.
Testing a cannister-style coil involves several checks whether on the bench or installed onna vehicle:
1) disconnect all wires/harness from the coil, it must not be connected to anything.
2) measure the primary resistance with a dvom (follow instructions for your device), multimeter, or ohmmeter...one probe on the positive terminal, one probe on the negative terminal, polarity is not important at that point. Make the reading and record. Repeat it. Repeat it again. If ya get the same reading three times in a row, then that is the value.
3) measure the secondary resistance with the same instrument, one probe engaging the secondary terminal (center terminal on the coil in the pic), and the other probe on either the positive terminal or the secondary terminal (doesn't matter which on this type of coil). Repeat three times and record.
4) if both resistance tests are within spec (typical 1.4>1.8 ohms primary, 6.0k>9.0k ohms secondary), the coil will fire a plug with an engine running when the coil is "cold".
5) reinstall the coil and rig an additional "air gap" of approximately 1/4" between the coil wire and the secondary terminal with the engine running at idle speed. Let it run a minimum of 15 minutes or until the engine stalls or starts blubbering. If it don't blubber/stall, the coil is good under heat load running at full output potential.
If it blubbers/stalls/spark is intermittent, then the coil is removed and gets smashed with a hammer and discarded as ng so it can't be mistakenly re-used.
A cannister coil like is used on most all oem automotive apps up to the advent of the "e-core" coil design will normally fail only after running under load (which means it gets hot internally) for a period of time and performance begins to diminish to the point it can't produce output for all cylinders as designed. Some mechanics refer to that as a "coil breakdown"...random misfire, then steady misfire, then no spark at all or too weak to ionize the plug gap under cylinder pressure.
The yellow accel coil in the tester picture I posted shows excellent output, and I know what it's max output is in kv because it was also tested before hand on an engine analyzer w/oscilloscope. In that pic, the coil is cold.
That coil tester has a heat position which is then engaged for five minutes, after which the test is repeated. That is not long enough on most "high turn" coils to create heat load to test the coil under engine operating conditions. So I heat for at least 30 minutes, checking output periodically.
The accel coil in the pic begins to break down at 12 minutes (yes this failure point is repeatable), output kv is reduced by approximately one half in free air. That means the coil will not fire a plug under compression load in a cylinder when dosed with the intake charge "mix"...yet it still sparks on the tester. You can also hear the spark output begin to deteriorate.
At 20 minutes output kv goes away completely...the coil is now dead and useless. Primary resistance test show "open circuit/winding". Let it sit three hours and guess what...it comes back to life and the cycle begins again...day after day after day!
So yes...that yellow coil tested "good"...but it ain't worth shit. Why???? Because all the insulating oil leaked out though the shittee "seal" found under the secondary female terminal. But that is just one of several failure modes that a cannister-type coil can develop.