you'd need to explore the connotations of the noun 'warning' it connotes deterrence and message . the purpose of an author is usually to spread a message so the author has deliberately started the passage with 'warning' to reassure the reader that they are here to bring the message , it could also be used to emphasise the dramatic his intended audience are as the warning also holds dramatic connotations , it could also allow the reader to relate with the author as they could both be seen as overly dramatic
I think it's "Howe is upset when he receives the letter" because the first one say how the judges thought his work was fine but it says in the inference that they didn't like it and the 2nd one doesn't really make sense to the inference.