[Solved] Which of the following is an application of the principle of moral hazard? A) People build homes in areas subject to severe flood damage when federally-subsidized insurance is available. B) Inappropriate lyrics are available for downloading through the Internet when regulations are not enforced. C) Actions by one individual have an impact on innocent bystanders. D) None of the above. Hydraulic Troubleshooting: null Output Module: A component in electronic and mechanical systems that processes signals or power from the system and delivers it to the next stage or to the end user. Allison TC-10: An automatic transmission model designed by Allison Transmission, specifically for commercial heavy-duty trucks. Low Range: A setting in a vehicle's transmission that provides increased torque and reduced speed, advantageous for off-roading or towing.