What does Code Coverage indicate?

Code coverage is a metric used in software testing that indicates the percentage of code that has been executed or "exercised" by tests. This metric is crucial for assessing the effectiveness of your test suite and ensuring that the tests are thoroughly verifying the application's functionality. The higher the code coverage percentage, the more of the application’s codebase is being tested, which can give developers and testers greater confidence in the quality and reliability of the software.

By focusing on the code that is actively tested, teams can identify untested paths or areas within the application that might contain bugs or performance issues. Improving code coverage can also highlight potential redundancies or unused code sections, leading to better-maintained and streamlined code.

In the context of the question and the other options, the other choices do not accurately reflect what code coverage signifies. For instance, peer code reviews focus on the quality and style of code, while code execution efficiency pertains to performance metrics. Simply counting lines of code does not relate to the quality or thoroughness of testing conducted on that code. Thus, the correct interpretation of code coverage directly relates to the testing context and how well the tests exercise the codebase.