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How much up and down play is acceptable at the extension housing on a C4 . If I pull straight up and down at the drive shaft slip yolk I would think I should get Very little or no play. Am I correct? Thanks for the input.
 

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There will be a little bit of play. It's not a really tight fit between the splines of the yoke and output shaft.

The output shaft itself should show very little, if no play. It rides on a bushing in the tailhousing.
 

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Actually the output shaft doesn't touch the housing at all. The drive shaft yoke is what rides in the bushing. A little play is not going to hurt you, but if you feel it is excessive, go ahead and change the bushing. The tail housing can be removed easily without removing the trans.
 
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