diff --git a/Makefile.am b/Makefile.am
index 773ff56..9431c77 100644
--- a/Makefile.am
+++ b/Makefile.am
@@ -115,7 +115,8 @@ dist_check_SCRIPTS = \
 	test/functional/pack/test.bats \
 	test/functional/full-run/test.bats \
 	test/functional/full-run-delta/test.bats \
-	test/functional/file-name-blacklisted/test.bats
+	test/functional/file-name-blacklisted/test.bats \
+	test/functional/state-file/test.bats
 endif
 
 if COVERAGE
diff --git a/test/functional/state-file/test.bats b/test/functional/state-file/test.bats
new file mode 100755
index 0000000..c0a07bf
--- /dev/null
+++ b/test/functional/state-file/test.bats
@@ -0,0 +1,28 @@
+#!/usr/bin/env bats
+
+# common functions
+load "../swupdlib"
+
+setup() {
+  clean_test_dir
+  init_test_dir
+
+  init_server_ini
+  set_latest_ver 0
+  init_groups_ini os-core
+
+  set_os_release 10 os-core
+  track_bundle 10 os-core
+
+  gen_file_plain 10 os-core "/var/lib/test"
+}
+
+@test "state file marked in manifest" {
+  sudo $CREATE_UPDATE --osversion 10 --statedir $DIR --format 3
+
+  # a file and dir installed in /var should be marked state
+  grep '^D\.s\..*/var/lib$' $DIR/www/10/Manifest.os-core
+  grep '^F\.s\..*/var/lib/test$' $DIR/www/10/Manifest.os-core
+}
+
+# vi: ft=sh ts=8 sw=2 sts=2 et tw=80
diff --git a/test/functional/swupdlib.bash b/test/functional/swupdlib.bash
index 7119060..1289ec4 100644
--- a/test/functional/swupdlib.bash
+++ b/test/functional/swupdlib.bash
@@ -91,7 +91,7 @@ gen_file_plain() {
   local name="$3"
 
   # Add plain text file into a bundle
-  mkdir -p $DIR/image/$ver/$bundle
+  mkdir -p $DIR/image/$ver/$bundle/$(dirname "$name")
   echo "$name" > $DIR/image/$ver/$bundle/"$name"
 }
 
@@ -101,7 +101,7 @@ gen_file_plain_change() {
   local name="$3"
 
   # Add plain text file into a bundle
-  mkdir -p $DIR/image/$ver/$bundle
+  mkdir -p $DIR/image/$ver/$bundle/$(dirname "$name")
   echo "$ver $name" > $DIR/image/$ver/$bundle/"$name"
 }