Priority - how soon your business side needs a fix. (Tip: The engineering side never decides priority.) Severity - how bad the bug bites. (Tip: Only engineers decide severity.) For a high priority, low severity example, suppose your program has an easter egg (a secret feature) showing a compromising photo of your boss. Schedule this bug to be removed immediately. Low priority, high severity example: A long chain of events leads to a crash that risks the main data file. Because the chain of events is longer than customers might probably reproduce, so keep an eye on this one while fixing higher priority things. Testers should report bugs, the business side should understand them and set their priorities. Then testers and engineers should capture the bugs with automated tests before killing them. This reduces the odds they come back, and generally reduces "churn", which is bug fixes causing new bugs.
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