You are an Enterprise administrator for contoso.com. The corporate network of the company consists of a single Active Directory domain.

Which of the following options would you choose to consolidate the 50 physical Windows Server 2003 servers into 10 physical Windows Server 2008 servers?

While consolidation, you need to ensure that the existing hardware and software should be used and 64-bit child virtual machines can be created. Which of the following options would you choose to accomplish the desired task?

A.
Install Microsoft Virtual PC.

B.
Install the Hyper-V feature.

C.
Consolidate services across the physical machines and create the necessary host (A) records.

D.
Install Microsoft Virtual Server 2005 R2.

E.
None of the above

Explanation:
To ensure that existing hardware and software is used and to ensure the support for 64-bit child virtual machines, you need to install the Hyper-V feature to convert the physical machines into virtual machines.

The Hyper-V feature provides Physical-to-Virtual (P2V) Conversion Wizard that guides administrators through the process of creating a virtual version of a physical server, including creating images of physical hard disks, preparing the images for use in a VM, and creating the final VM. The wizard can create virtual servers from physical servers and can run on Windows Server 2003 with SP1 (32-bit only) and on Windows Server 2008 (without Hyper-V role enabled) besides many other Operating systems.

Reference: Virtual Machine Manager 2008 Supports Hyper-V / Other Features

http://www.directionsonmicrosoft.com/sample/DOMIS/update/2008/07jul/0708vmm2sh.htm