What does false-negative reporting indicate?

False-negative reporting indicates that network vulnerabilities are not identified, which can lead to a false sense of security regarding the state of the network's security. In the context of cybersecurity and audit practices, a false negative occurs when a vulnerability scanner or monitoring tool fails to detect an existing vulnerability. As a result, stakeholders may mistakenly believe that their systems are secure, which could lead to inadequate security measures being implemented.

A significant concern with false negatives is that they can create a gap in the security posture of an organization, as real vulnerabilities may go unaddressed. This can ultimately result in the exploitation of these undiscovered vulnerabilities, with potentially severe consequences for the organization’s data and systems.

On the other hand, the other options do not accurately describe what false negative reporting entails. For example, falsely deeming controls weak or indicating that all systems are functioning optimally does not encompass the primary issue of undetected vulnerabilities. Excessive resources being utilized would relate to inefficiencies or mismanagement rather than the failure to recognize vulnerabilities within the system. Thus, understanding false negatives is crucial for maintaining effective cybersecurity measures and ensuring that all vulnerabilities are adequately addressed to mitigate risk.