Thanks @darrenk_splunk . Based on the info that you provided, I agree...it is not a bug. The Linux "cat" and grep commands help explain the unexpected output also.
[root@localhost bin]$ cat /opt/splunk/etc/system/default/inputs.conf | grep "monitor://"
[monitor://$SPLUNK_HOME/var/log/splunk]
[monitor://$SPLUNK_HOME/var/log/watchdog/watchdog.log*]
[monitor://$SPLUNK_HOME/var/log/splunk/license_usage_summary.log]
[monitor://$SPLUNK_HOME/var/log/splunk/splunk_instrumentation_cloud.log*]
[monitor://$SPLUNK_HOME/etc/splunk.version]
[root@localhost bin]$
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