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diff --git a/spec/frontend/vue_shared/components/markdown/apply_suggestion_spec.js b/spec/frontend/vue_shared/components/markdown/apply_suggestion_spec.js
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+++ b/spec/frontend/vue_shared/components/markdown/apply_suggestion_spec.js
@@ -0,0 +1,72 @@
+import { shallowMount } from '@vue/test-utils';
+import { GlDropdown, GlFormTextarea, GlButton } from '@gitlab/ui';
+import ApplySuggestionComponent from '~/vue_shared/components/markdown/apply_suggestion.vue';
+
+describe('Apply Suggestion component', () => {
+  const propsData = { fileName: 'test.js', disabled: false };
+  let wrapper;
+
+  const createWrapper = props => {
+    wrapper = shallowMount(ApplySuggestionComponent, { propsData: { ...propsData, ...props } });
+  };
+
+  const findDropdown = () => wrapper.find(GlDropdown);
+  const findTextArea = () => wrapper.find(GlFormTextarea);
+  const findApplyButton = () => wrapper.find(GlButton);
+
+  beforeEach(() => createWrapper());
+
+  afterEach(() => {
+    wrapper.destroy();
+    wrapper = null;
+  });
+
+  describe('initial template', () => {
+    it('renders a dropdown with the correct props', () => {
+      const dropdown = findDropdown();
+
+      expect(dropdown.exists()).toBe(true);
+      expect(dropdown.props('text')).toBe('Apply suggestion');
+      expect(dropdown.props('headerText')).toBe('Apply suggestion commit message');
+      expect(dropdown.props('disabled')).toBe(false);
+    });
+
+    it('renders a textarea with the correct props', () => {
+      const textArea = findTextArea();
+
+      expect(textArea.exists()).toBe(true);
+      expect(textArea.attributes('placeholder')).toBe('Apply suggestion on test.js');
+    });
+
+    it('renders an apply button', () => {
+      const applyButton = findApplyButton();
+
+      expect(applyButton.exists()).toBe(true);
+      expect(applyButton.text()).toBe('Apply');
+    });
+  });
+
+  describe('disabled', () => {
+    it('disables the dropdown', () => {
+      createWrapper({ disabled: true });
+
+      expect(findDropdown().props('disabled')).toBe(true);
+    });
+  });
+
+  describe('apply suggestion', () => {
+    it('emits an apply event with a default message if no message was added', () => {
+      findTextArea().vm.$emit('input', null);
+      findApplyButton().vm.$emit('click');
+
+      expect(wrapper.emitted('apply')).toEqual([['Apply suggestion on test.js']]);
+    });
+
+    it('emits an apply event with a user-defined message', () => {
+      findTextArea().vm.$emit('input', 'some text');
+      findApplyButton().vm.$emit('click');
+
+      expect(wrapper.emitted('apply')).toEqual([['some text']]);
+    });
+  });
+});