The point is not would you rather beat LSU or Utah, it's about having a GUARANTEE at beating LSU or Utah. He even gave the stats to show that we are expected to beat Utah but not expected to beat LSU. So, theoretically, if you chose the guarantee to beat LSU then based on the odds you should also beat Utah because you're expected to. Thus being 2-0. If you guarantee beating Utah (again, you're already expected to) then you most likely end up being 1-1 because you're heavy underdogs to LSU.

Think of it this way... you have to get rid of a rodent that's burrowing holes in your yard. It's super annoying and you want so bad for it to be gone. You have the option to poison it and kill it with gas or water OR you can go nuclear and put a couple of sticks of dynamite in the ground and blow it to smithereens. If you went with option 1 not only did you kill the rodent but you also save your yard... win-win. On the other option, sure you killed the nuisance but you no longer have a yard... win-lose.

For me, as someone who has lived in Utah (I believe Bama did at some point too) I get the issues you're facing, but it's not worth throwing out the season or a chance to do something great on the season. To me your argument is that you'd rather see BYU guaranteed to beat Utah and go 1-11, rather than potentially going 12-0 with an expectation that you're going to beat Utah but it's not guaranteed. Trust me, in other seasons I would have taken option 1 too. But for me, with this season, I'm taking the latter.