diff --git a/test/units/TestInventory.py b/test/units/TestInventory.py
index dc3a0ce6d6..b4bee4300e 100644
--- a/test/units/TestInventory.py
+++ b/test/units/TestInventory.py
@@ -56,7 +56,7 @@ class TestInventory(unittest.TestCase):
             'thrudgelmir0', 'thrudgelmir1', 'thrudgelmir2',
             'thrudgelmir3', 'thrudgelmir4', 'thrudgelmir5',
             'Hotep-a', 'Hotep-b', 'Hotep-c',
-            'BastC', 'BastD', 'neptun', ]
+            'BastC', 'BastD', 'neptun', 'goldorak', ]
 
     #####################################
     ### Empty inventory format tests
@@ -222,6 +222,11 @@ class TestInventory(unittest.TestCase):
         inventory.subset('@' + os.path.join(self.test_dir, 'restrict_pattern'))
         self.assertEqual(sorted(inventory.list_hosts()),  sorted(['thor','odin']))
 
+    def test_vars_yaml_extension(self):
+        inventory = self.simple_inventory()
+        vars = inventory.get_variables('goldorak')
+        assert vars['YAML_FILENAME_EXTENSIONS_TEST']
+
     @raises(errors.AnsibleError)
     def testinvalid_entry(self):
        Inventory('1234')
diff --git a/test/units/inventory_test_data/group_vars/noparse/all.yml~ b/test/units/inventory_test_data/group_vars/noparse/all.yml~
new file mode 100644
index 0000000000..6f52f114b1
--- /dev/null
+++ b/test/units/inventory_test_data/group_vars/noparse/all.yml~
@@ -0,0 +1,2 @@
+---
+YAML_FILENAME_EXTENSIONS_TEST: False
diff --git a/test/units/inventory_test_data/group_vars/noparse/file.txt b/test/units/inventory_test_data/group_vars/noparse/file.txt
new file mode 100644
index 0000000000..6f52f114b1
--- /dev/null
+++ b/test/units/inventory_test_data/group_vars/noparse/file.txt
@@ -0,0 +1,2 @@
+---
+YAML_FILENAME_EXTENSIONS_TEST: False
diff --git a/test/units/inventory_test_data/group_vars/parse/all.yml b/test/units/inventory_test_data/group_vars/parse/all.yml
new file mode 100644
index 0000000000..8687c86c7c
--- /dev/null
+++ b/test/units/inventory_test_data/group_vars/parse/all.yml
@@ -0,0 +1,2 @@
+---
+YAML_FILENAME_EXTENSIONS_TEST: True
diff --git a/test/units/inventory_test_data/simple_hosts b/test/units/inventory_test_data/simple_hosts
index 4625b3dbab..08c62b4537 100644
--- a/test/units/inventory_test_data/simple_hosts
+++ b/test/units/inventory_test_data/simple_hosts
@@ -20,3 +20,9 @@ Bast[C:D]
 
 [auth]
 neptun auth="YWRtaW46YWRtaW4="
+
+[parse:children]
+noparse
+
+[noparse]
+goldorak