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To give an adequate answer to a question on grace requires, in some measure, that the whole idea of salvation by grace be treated. Grace, in some instances, may be defined as a free gift of God, given indiscriminately to all men without regard for personal worthiness or ability to repay. Life in mortality is one such gift. Without the Atonement of Christ and the quickening powers of His Spirit, life on earth would not exist.[1] By the power of the atonement, "little children are alive in Christ," until they become accountable for their actions.[2] Because of the power of the atonement, Satan is not permitted to tempt them during this period.[3] Man's right of agency during mortality, to choose liberty and eternal life or to choose spiritual captivity and death, is a gift of God and is made possible only by the power of the atonement.[4] All men will be resurrected as a gift of grace made possible by the atonement, regardless of their actions in life. Finally, by the power of the atonement all men are unconditionally redeemed from the first spiritual death incurred by the transgression of Adam. The power of the atonement brings both the wicked and the righteous back into the presence of God, from whence they fell by the transgression of Adam.[5] While in the presence of God men are judged, some according to the judgment of condemnation, some according to the judgment of works, and some according to the judgment of grace.
[1] See Mosiah 2:21, 23; D&C 29:43; 33:16; 88:6-13; John 1:9; Acts 17:28; Job 32:8.
[2] Moroni 8:8,12; See also D&C 93:38.
[3] D&C 29:47.
[4] II Nephi 2:26-27.
[5] See Helaman 14:16-47.