With subdomains do I have to make a virtual host for each?

I had a wp site that I turned into a multisite with subdomains. I created the wild card in my DNS settings. I have two subdomain virtual hosts that are zend projects which I can access fine. In wordpress network sites I added test.domain.com and i’m not able to access this.

Do I have to create a virtual host for this with apache2 creating an available sites file enabling etc? What about my /etc/hosts file do I need to add an entry 127.0.0.1 test ?

Any suggestions is appreciated, thanks