You are working as an AWS DevOps admins for your company. You are in charge of building a nested infrastructure for the company`s development teams using CloudFormation. The template will include building the VPC and networking components installing a LAMP stack and securing the created resources. As per the AWS best practices, what is the best way to design this template?

Answer options:

A.Create a single cloudformation template to create all the resources since it would be easier from the maintenance perspective.
B.Create multiple cloudformation templates based on the number of VPC’s in the environment.
C.Create multiple cloudformation templates based on the number of development groups in the environment.
D.Create multiple cloudformation templates for each set of logical resources, one for networking, the other for LAMP stack creation.

Answer – D
Creating multiple cloudformation templates is an example of using nested stacks. The advantage of using nested stacks is given below as per the AWS documentation.
As your infrastructure grows, common patterns can emerge in which you declare the same components in each of your templates. You can separate out these common components and create dedicated templates for them. That way, you can mix and match different templates but use nested stacks to create a single, unified stack. Nested stacks are stacks that create other stacks. To create nested stacks, use the AWS::CloudFormation::Stack resource in your template to reference other templates.
For more information on Cloudformation best practices, please refer to the below link:
http://docs.aws.amazon.com/AWSCloudFormation/latest/UserGuide/best-practices.html