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Question:

What must you do when you see a school bus with flashing red lights stopped ahead?

A You must stop, no matter which direction you are traveling in.
Explaination

A school bus will activate its flashing red signals or extend its stop arm to warn motorists that it is stopping for passengers. You must stop at least 15 feet away from a school bus that has stopped for passengers, no matter which direction the school bus is traveling in. [School Buses, 2. Traffic Signs and Rules of the Road, Iowa Driver's Manual]