A system and method for testing a Light Detection and Ranging (LiDAR) sensor is disclosed. The system includes the LiDAR sensor radiating a plurality of LiDAR rays, a plurality of bars positioned at a predetermined distance from the LiDAR sensor, and a testing device. The method includes triggering a LiDAR sensor to radiate a plurality of LiDAR rays. The method further includes determining at least one intersection point at each of a plurality of bars upon intersection of at least one LiDAR ray from the plurality of LiDAR rays with each of the plurality of bars. The method further includes computing at least one operational parameter for the LiDAR sensor based on the intersection points, and determining one or more test results based on the one or more operational parameters.