Make out record by Queen new (7)
I believe the answer is:
discern
'make out' is the definition.
('discern' can be a synonym of 'make out')
'record by queen new' is the wordplay.
'record' becomes 'disc' ('disc' can be a synonym of 'record'**).
'by' is a charade indicator (letters next to each other).
'queen' becomes 'er' (abbreviation for Elizabeth Regina).
'new' becomes 'n'.
'disc'+'er'+'n'='DISCERN'
(Other definitions for discern that I've seen before include "Make out, distinguish by eye" , "spot" , "Cinders (anag)" , "Pick out" , "Perceive - distinguish" .)