The standard SharePoint out-of-the box Issue Tracking list that comes with many site templates, or when one chooses to Create a New List comes with a choice field called 'Issue Status' and the following choices:
Categorically, my non- to semi-technical team members and contributors don't understand the difference between resolved and closed.
What would be a set of choices for this list? I am in a business intelligence shop where often a issue gets reported, we make some fix we think resolves it, but need a QA person to verify. Some of the time, the issue needs to be fixed in development, tested, then deployed and the deployment tested.
Personally, for your case, I would start with: