Statement : In spite of the Principal's repeated warnings, a child was caught exploding crackers secretly in the school.

Courses of Action :
I. All the crackers should be taken away from the child and he should be threatened not to do it again.
II. The child should be severely punished for his wrong act.

Explanation:-

Since the act has been repeated despite various warnings, so course I would only be another warning and would not help. Severe punishment to set example for him and others is inevitable. Thus, course II shall follow.