This is due to a partial obstruction to the flow of blood as it leaves the left side of the heart (the left ventricle) through the main blood vessel (the aorta) that carries blood to the rest of the body. Due to the obstruction the heart must work harder to pump adequate blood. Clinical signs depend on the degree of the narrowing. Some puppies have what are called "innocent" murmers which disappear. Others need further investigation.
There are tests for this condition. Auscultation (stethoscope) ECG, and more extensive investigations such as Doppler echocardiography and chest x-rays. These should be carried out by qualified Cardiologists (e.g. SAC veterinary surgeons) who can issue a certificate. In its mildest form there are no problems for the dog, but it may still be passed on to its offspring.
Recommendation is that no affected animals are used for breeding.