The correct answer is "the recognition of the existence of an ethical issue where ethical values can be applied."
In Rest’s ethical decision-making model, moral awareness refers to the recognition of the existence of an ethical issue where ethical values can be applied.
In 1994, scientist James Rest created a theory that included an ethical decision-making model. This model referred to the process of moral awareness, moral judgment, moral intentions, and finally, moral action. James Rest believed that people faced many ethical dilemmas in any decision-making process, so when they had to make a decision people had to take into consideration his model.
In the moral awareness stage, the individual "feels" the situation and asks himself the question of how his actions are going to affect other people.