A company needs to follow security best practices to deploy resources from an AWS CloudFormation...

Option A: This option meets the requirements of following security best practices and configuring sensitive database credentials in the CloudFormation template. A dynamic reference is a way to specify external values that are stored and managed in other services,such as Secrets Manager, in the stack templates1. When using a dynamic reference, CloudFormation retrieves the value of the specified reference when necessary during stack and change set operations1. Dynamic references can be used for certain resources that support them, such as AWS::RDS::DBInstance1. By using a dynamic reference to reference the database credentials in Secrets Manager, the company can leverage the existing integration between these services and avoid hardcoding the secret information in the template. Secrets Manager is a service that helps you protect secrets needed to access your applications, services, and IT resources2. Secrets Manager enables you to rotate, manage,and retrieve database credentials, API keys, and other secrets throughout theirlifecycle2.