If the Evangelical doctrine of grace were true, either everyone should be saved unconditionally (universal salvation), which we know is not biblical; or else God saves and damns people by an arbitrary decision without regard to any degree of their personal righteousness, worthiness, repentance, obedience, virtue, or anything else, which we know is also unbiblical. Throughout the Bible we are told that God condemns the wicked and saves the righteous. The Mormon doctrine of grace as taught in the Book of Mormon is the biblical one, and leads to neither of those conclusions. This is how the Book of Mormon teaches the doctrine of grace:
2 Nephi 2:
5 And men are instructed sufficiently that they know good from evil. And the law is given unto men. And by the law no flesh is justified; or, by the law men are cut off. Yea, by the temporal law they were cut off; and also, by the spiritual law they perish from that which is good, and become miserable forever.
6 Wherefore, redemption cometh in and through the Holy Messiah; for he is full of grace and truth.
7 Behold, he offereth himself a sacrifice for sin, to answer the ends of the law, unto all those who have a broken heart and a contrite spirit; and unto none else can the ends of the law be answered.
8 Wherefore, how great the importance to make these things known unto the inhabitants of the earth, that they may know that there is no flesh that can dwell in the presence of God, save it be through the merits, and mercy, and grace of the Holy Messiah, who layeth down his life according to the flesh, and taketh it again by the power of the Spirit, that he may bring to pass the resurrection of the dead, being the first that should rise.
9 Wherefore he is the firstfruits unto God, inasmuch as he shall make intercession for all the children of men; and they that believe in him shall be saved.
• • •
26 And the Messiah cometh in the fulness of time, that he may redeem the children of men from the fall. And because that they are redeemed from the fall they have become free forever, knowing good from evil; to act for themselves and not to be acted upon, save it be by the punishment of the law at the great and last day, according to the commandments which God hath given.
27 Wherefore, men are free according to the flesh; and all things are given them which are expedient unto man. And they are free to choose liberty and eternal life, through the great Mediator of all men, or to choose captivity and death, according to the captivity and power of the devil; for he seeketh that all men might be miserable like unto himself.
2 Nephi 10:
23 Therefore cheer up your hearts, and remember that ye are free to act for yourselves—to choose the way of everlasting death or the way of eternal life.
24 Wherefore, my beloved brethren, reconcile yourselves to the will of God, and not to the will of the devil and the flesh; and remember, after ye are reconciled unto God, that it is only in and through the grace of God that ye are saved.
2 Nephi 25:
23 For we labor diligently to write, to persuade our children, and also our brethren, to believe in Christ, and to be reconciled to God; for we know that it is by grace that we are saved, after all we can do.
“After all we can do” means in spite of all we can do. In other words, there is nothing we can do by our own strength, or virtue, or wisdom, or righteousness etc. that can save us―aside from the redemptive work of God. That is the Mormon doctrine of grace, which is the biblical one. It doesn’t mean that we don’t need to repent or keep the commandments of God to be saved.
In Mormon theology the Atonement of Jesus Christ had two major consequences for man. Firstly, it redeems all of mankind unconditionally from the effects of the Fall. That is universal and applies to all men, the wicked as well as the righteous. It means that all men will be resurrected, and all will be brought back to the presence of God to be judged. No one will be condemned or punished because of the Fall of Adam. That is taken care of unconditionally by the Atonement.
The Fall brought about two kinds of deaths on mankind: a physical death as well as a spiritual death (meaning that they are cut off from the presence of God). The Atonement unconditionally redeems all of mankind from both these two kinds of death―from physical death by the resurrection; and from spiritual death by bringing them back to the presence of God to be judged.
Secondly, the Atonement also redeems all of mankind from their own personal or individual sins on conditions of faith and repentance in this life. These then will be given a free pass on judgement day; whereas those who have not believed nor repented will then experience a second death which is a spiritual death, not a physical death; from which they can no longer be redeemed because the opportunity of “faith and repentance” no longer exists for them. That window of opportunity is only open during the period between birth and resurrection. After that there is no more opportunity for faith, repentance, or redemption. It is the Atonement that sets men free, and enables them to choose the way of life and salvation, or the way of death and damnation in this life. See Revelation 2:11; 20:6, 14; 21:8; Jacob 3:11; Alma 11:40–45; 12:12–35; 13:27–30; 40:22–26; 42:22–27; Helaman 14:15–19.
The scriptures also speak of more than one resurrection. The redeemed come forth in the first resurrection; the rest in the second. Calvinism is not the gospel that Jesus taught. Our freedom and ability to make a choice between salvation or damnation comes because of the Atonement of Jesus Christ; and we are rewarded accordingly.