After dunking this bike in some nice thick soup (the entire left side of the engine was underwater) it was running fine while in the water, then it died. I had a freind tow me out and home, and now I can't get spark.

Used restance setting on my multimeter and tested the wires on the coil.

blue wire white stripe > green wire 122
black wire red stripe > blue wire white stripe 209
black wire red stripe > green wire 87
yellow wire > yellow wire 0

I have checked the switch on the handlebar and it's fine. So do I have a bad coil?

 

Ok, after testing everything. The black/red wire was giving me 8Vac and it's suposed to give me 56ish. So I assume my AC coil is dead.

 

I agree with your diagnosis....