So the + and - cables from the battery are connected to the large
terminals on the side of the solenoid. Let's say I'll connect + to the
large terminal that is closest to the small terminal on top which is
marked "I" and - will connect to the large terminal on the other side
which is closest to the small terminal on top marked "S".

Next one end of the coil is connected to small terminal "I" and the
other end of the coil connects to the switch (horn button) which is
connected to small terminal "S".
Is this correct?

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>
> Either way works. Keep in mind the inside uses a copper
> disc to close the ckt; activated by the coil around a
> ferrite coil core.
>
> When you have 2 small terminals - is typically a Ford
> solenoid, one goes to each coil wire end [they are
> typically about 2.5" high from top of the tin lid to
> bottom of the bakelite case; all others are longer,
> foreign may be skinier]. One goes to ground, other goes
> to the switch. The reason Fords are used consistently is -

> the starter bendix ass'y is innertial, self engages when
> the motor armature rotates; all others have to overcome a
> stiff spring to engage. More solenoids have only 1 small
> terminal than 2; other coil connection is inside the case,
> to the mount bracket, won't work if not grounded.
>
>
>