To check the coil - Set the MM to OHMS, and place the probe on each lug of the coil. You should see around 4 Ohms. Remove the connector to the coil (nearest the coil) - also check the wires are soldered on the coil.

1) On my MM, Ohms has 5 settings (2000K, 200K, 20K, 2000, 200). Which setting do I use? 
2) Do I perform the first test with the machine switched on and the coil connected? 
3) After I remove the connector to the coil (nearest the coil), do I need to test using the MM again? If so, what value should I expect? Machine switched off or on? 

Matthew