Andy Warren (6/20/2014)
Thanks all for trying the question. I'll work on my wording (I always try to!) more. It's crazy hard to get it done in a way that is fun, challenging, but not annoying!
Coming late to the party, I know - but in this case, I don't think there is anything wrong with the wording.
After a first quick read I was left with two answers: SQL 2000 or Azure. I then re-read the question. It states clearly that all onsite DBs are SQL2012, so that rules out the SQL2000 answer. It does not in any way imply that there are no off-site databases. So Azure was clearly the correct answer.
All those who think the question somehow implies that all databases are on-site should reread the question.