Azure compute emulator stopped working after upgra

I upgraded my azure sdk to version 2.8 from 2.5 today and have not been able to get the compute emulator going ever since.

I receive a popup indicating

"The system is missing a prerequisite to execute the service."

When I look at the output screen, i see the following message scrolling down the screen:

"Microsoft Azure Tools: Error: The installed Microsoft Azure Compute Emulator does not support the role binaries. Please install the latest Microsoft Azure Compute Emulator and try again. Microsoft Azure Tools: Warning: The role binaries in your package are using an older version of the Microsoft Azure SDK. Please consider upgrading."

As I have several role instances I am having a problem determining which one(s) could be the culprit or what is the problem.

The weird thing is that I updated all of the referenced using nuget. One thing I noticed was that the Microsoft.WindowsAzure.ServiceRuntime.dll seems to have a version of 2.7.0.0 even though it is in a directory called v2.8. The other two dll's tied to azure, Microsoft.WindowsAzure.Diagnostics(2.8.0.0) and Microsoft.WindowsAzure.Storage(6.2.0.0) seem to point to other versions.

I am not sure if the problem is that I have to repoint these dll's or if there is a deeper issue going on?

You still need to perform the tool upgrade on your Azure publishing project. Right click on your Azure publish project (*.ccproj type?) and select Properties.

From this screen, select Application and click the Upgrade button. I have attached a screen shot showing I have a project I need to upgrade from 2.7 to 2.8. The red circle on the far right is the project you should perform the right click on (I don't know the actual project type name).