I don't understand what you're saying...
If you add the .txt extension to the path, you see the contents of 'test.php' in your browser?? Any chance you can give us links/screenshots/examples of the output? If you named the file 'test.php' and you typed that into your browser, you should either see the PHP's phpinfo() output or, at the very least, a file download screen (indicating PHP isn't properly set up in Apache).
You mentioned this is your test work environment, so I don't know if you would want to post link to your server on this board, but feel free to PM me the URL to take a look at. Otherwise, I'm a bit confuzzled.