Joe burns Pip's indenture in the fire, implying that

A. Joe is ready to hire a new, more capable apprentice.

B. he cares more for Pip's future and happiness than money.

C. Joe is irritated with Pip's betrayal.

D. Pip has become a master blacksmith.

The answer is B. Joe cares more for Pip's future and happiness, rather than money (keeping Pip on as a blacksmith). Burning Pip's indenture is equivalent to allowing Pip to go free, as there is no longer any document stating that Pip must continue to work for Joe.