diff --git a/tests/block_bytecode/example1_varexo_det_bytecode.mod b/tests/block_bytecode/example1_varexo_det_bytecode.mod
new file mode 100644
index 000000000..e567161f9
--- /dev/null
+++ b/tests/block_bytecode/example1_varexo_det_bytecode.mod
@@ -0,0 +1,58 @@
+// Test for varexo_det and forecast command at order 1
+
+var y, c, k, a, h, b;
+varexo e,u;
+varexo_det ahat, bhat;
+
+parameters beta, rho, alpha, delta, theta, psi, tau;
+
+alpha = 0.36;
+rho   = 0.95;
+tau   = 0.025;
+beta  = 0.99;
+delta = 0.025;
+psi   = 0;
+theta = 2.95;
+
+phi   = 0.1;
+
+//model(bytecode);
+model;
+c*theta*h^(1+psi)=(1-alpha)*y;
+k = beta*(((exp(b)*c)/(exp(b(+1))*c(+1)))
+    *(exp(b(+1))*alpha*y(+1)+(1-delta)*k));
+y = exp(a)*(k(-1)^alpha)*(h^(1-alpha));
+k = exp(b)*(y-c)+(1-delta)*k(-1);
+a = ahat+ rho*a(-1)+tau*b(-1) + e;
+b = bhat+ tau*a(-1)+rho*b(-1) + u;
+end;
+
+initval;
+y = 1.08068253095672;
+c = 0.80359242014163;
+h = 0.29175631001732;
+k = 5;
+a = 0;
+b = 0;
+e = 0;
+u = 0;
+ahat = 0;
+bhat = 0;
+end;
+
+//simul(periods=20);
+shocks;
+var e; stderr 0.009;
+var u; stderr 0.009;
+var e, u = phi*0.009*0.009;
+var ahat;
+periods 1;
+values 0.1;
+var bhat;
+periods 2;
+values 0.2;
+end;
+
+stoch_simul(order=1,irf=0,noprint);
+
+forecast(periods=20);
diff --git a/tests/block_bytecode/run_block_bytecode_tests.m b/tests/block_bytecode/run_block_bytecode_tests.m
index 86d317589..2ab8e8bc5 100644
--- a/tests/block_bytecode/run_block_bytecode_tests.m
+++ b/tests/block_bytecode/run_block_bytecode_tests.m
@@ -45,7 +45,16 @@ for block = 0:1
 
     for i = 1:length(solve_algos)
       save ws
-      run_ls2003(block, bytecode, solve_algos(i), default_stack_solve_algo)
+      if !block && !bytecode && (i == 1)
+          run_ls2003(block, bytecode, solve_algos(i), default_stack_solve_algo)
+          y_ref = oo_.endo_simul;
+          save('test.mat','y_ref');
+      else
+          run_ls2003(block, bytecode, solve_algos(i), default_stack_solve_algo)
+          load('test.mat','y_ref');
+          diff = oo_.endo_simul - y_ref;
+          assert(abs(diff) <= options_.dynatol);
+          endif
       load ws
     endfor
     for i = 1:length(stack_solve_algos)