Full AWS Practitioner Certification Question

A small digital marketing agency runs its traffic analytics dashboard on a single Amazon EC2 On-Demand instance. The dashboard, developed in PHP, includes a built-in MySQL database and web server, all running on the same virtual machine. During periods of high client activity, the dashboard begins to return 5xx errors, and users experience slow response times. The agency is looking for a cost-effective way to enhance scalability and reduce downtime, especially during traffic surges. Which solution offers the most scalable and budget-conscious architecture?