This is a stage which is referred to as moral realism which is morality affected by external world. At this stage children's understand morality as based on following rules and laws and obeying them and they see these rules and laws as something that can not be changed or challenged.
They understand that rules comes from authority and violating them will lead to intense punishment.
They know that punishment equals the type of violation that one has committed.
Rules to them at this stage are absolute and non changing
