This can be difficult to determine. Many modern software applications are so complex, and run in such as interdependent environment, that complete testing can never be done. "When to stop testing" is one of the most difficult questions to a test engineer. Common factors in deciding when to stop are:
Deadlines ( release deadlines,testing deadlines.)
Test cases completed with certain percentages passed
Test budget depleted
Coverage of code/functionality/requirements reaches a specified point
The rate at which Bugs can be found is too small
Beta or Alpha Testing period ends
The risk in the project is under acceptable limit.
Practically, we feel that the decision of stopping testing is based on the level of the risk acceptable to the management. As testing is a never ending process we can never assume that 100 % testing has been done, we can only minimize the risk of shipping the product to client with X testing done. The risk can be measured by Risk analysis but for small duration / low budget / low resources project, risk can be deduced by simply: -
