diff --git a/needles/gnome/functionality/terminal_command_success.json b/needles/gnome/functionality/terminal_command_success.json
new file mode 100644
index 00000000..42bd97a6
--- /dev/null
+++ b/needles/gnome/functionality/terminal_command_success.json
@@ -0,0 +1,15 @@
+{
+  "properties": [],
+  "area": [
+    {
+      "xpos": 198,
+      "ypos": 211,
+      "width": 29,
+      "height": 14,
+      "type": "match"
+    }
+  ],
+  "tags": [
+    "terminal_command_success"
+  ]
+}
\ No newline at end of file
diff --git a/needles/gnome/functionality/terminal_command_success.png b/needles/gnome/functionality/terminal_command_success.png
new file mode 100644
index 00000000..366d2841
Binary files /dev/null and b/needles/gnome/functionality/terminal_command_success.png differ
diff --git a/tests/functionality_terminal.pm b/tests/functionality_terminal.pm
new file mode 100644
index 00000000..97bf9ab9
--- /dev/null
+++ b/tests/functionality_terminal.pm
@@ -0,0 +1,36 @@
+use base "installedtest";
+use strict;
+use testapi;
+use utils;
+
+# This test tests if Terminal starts (via using Activities and its prompt) and performs several tasks to  prove basic functionality of the application. 
+
+sub run {
+    my $self = shift;
+    send_key 'alt-f1';
+    # wait out animations
+    wait_still_screen 2;
+    # start the application
+    type_very_safely 'terminal';
+    send_key 'ret';
+    wait_still_screen 2;
+    # When the application opens, run a command to see that it accepts commands
+    type_very_safely 'ls /';
+    send_key 'ret';
+    wait_still_screen 2;
+    assert_screen 'terminal_command_success';
+    # close the application
+    send_key 'alt-f4';
+}
+
+# If this test fails, the others will probably start failing too, 
+# so there is no need to continue.
+# Also, when subsequent tests fail, the suite will revert to this state for further testing.
+
+#sub test_flags {
+#    return { fatal => 1, milestone => 1 };
+#}
+
+1;
+
+# vim: set sw=4 et:
diff --git a/tests/quick_login.pm b/tests/quick_login.pm
index d368d903..9608f22a 100644
--- a/tests/quick_login.pm
+++ b/tests/quick_login.pm
@@ -21,7 +21,7 @@ sub run {
 }
 
 sub test_flags {
-    return { fatal => 1 };
+    return { fatal => 1, milestone => 1};
 }
 
 1;