A vSphere administrator wants to monitor the CPU usage of all virtual machines (VMs) in a specific host cluster using alarms. Which sequence of actions should the administrator use?

Setting an alarm on an ESXi host would primarily monitor the host's resources or VMs specifically running on that host, not necessarily all VMs across the entire cluster.

Setting an alarm at the cluster level allows for centralized monitoring and management of all virtual machines within that specific host cluster. This method ensures that the alarm, once configured, automatically applies to all current and future VMs in the cluster, providing comprehensive CPU usage monitoring without needing individual VM configurations.

Adding alarms to individual VMs would be inefficient and impractical for a cluster containing numerous virtual machines, requiring repetitive manual configuration for each VM.

While a VMs folder can group VMs, an alarm set on a folder might not cover all VMs in a host cluster, especially if the folder structure does not perfectly match the cluster's VM membership or if VMs are added directly to the cluster outside the folder.