This test is to get a general of the range of motion available in your shoulders. The test is performed by:
Poor shoulder range of motion will affect any overhead work like overhead squats or presses.
Get someone to take a photo of you side-on (profile view) plus front-on and submit them in the exam.
Note: if you can’t get your hands positioned right above your shoulders with the elbows locked out, that’s fine too, don’t force it, take the photo with the best possible range you can get while keeping all points mentioned above in mind.