The document discusses handling data in algorithms. It defines constants as values that do not change under given conditions and are declared at the start of a program. Variables are characteristics that can increase, decrease, or take different values over time or in different situations. Different data types like integer, real, char, string, and boolean require varying amounts of memory. Arrays are groups of the same data type stored under one identifier in memory locations. Testing at the design, planning, and final stages can help identify syntax errors from incorrect code formatting and logic errors when the code works but does not achieve the expected outcome.