Explanation
Broad network access to cloud services, although it is an integral aspect of cloud computing, would not being a specific benefit to an organization with cyclical business needs. The other options would allow for lower costs during periods of low usage as well as provide the ability to expand services quickly and easily when needed for peak periods. Measured service allows a cloud customer to only use the resources it needs at the time, and resource pooling allows a cloud customer to access resources as needed. On-demand self-service enables the cloud customer to change its provisioned resources on its own, without the need to interact with the staff from the cloud provider.

DNSSEC is used as a security extension to DNS lookup queries in order to ensure the authenticity and authoritativeness of hostname resolutions, in order to prevent spoofing and redirection of traffic. Although it is a very important concept to be employed for security practices, it is not used to secure or encrypt data transmissions. HTTPS is the most commonly used security mechanism for data communications between clients and websites and web services.
IPSec is less commonly used, but is also intended to secure communications between servers.
VPN is commonly used to secure traffic into a network area or subnet for developers and administrative users.

Static masking involves taking a data set and replacing sensitive fields and values with non- sensitive or garbage data. This is done to enable testing of an application against data that resembles production data, both in size and format, but without containing anything sensitive.
Dynamic masking involves the live and transactional masking of data while an application is using it. Tokenized would refer to tokenization, which is the replacing of sensitive data with a key value that can later be matched back to the original value, and although it could be used as part of the production of test data, it does not refer to the overall process.
Replicated is provided as an erroneous answer, as replicated data would be identical in value and would not accomplish the production of a test set.

Explanation
With a federated identity system, a user will perform authentication with their home organization, and the application will accept the authentication tokens and user information from the identity provider in order to grant access. The purpose of a federated system is to allow users to authenticate from their home organization.
Therefore, using the application or a third-party authentication system would be contrary to the purpose of a federated system because it necessitates the creation of additional accounts. The use of a cloud provider would not be relevant to the operations of a federated system.