The correct answer is B. "... a knight, a most distinguished man... Who from the day on which he first began/ To ride abroad followed chivalry...".
Direct characterization is when the author reveals something specific about the character by using adjectives, phrases, or epithets. It also shows the character's motivation. B is the only answer where we can find how the character is and his motivation: "distinguished man", "he followed chivalry".
It is very different from indirect characterization when the author uses dialogue, appearance, actions, relationships, and places all over the world to portray a character. We find this on A. where the monk's sleeves are described but not the monk himself, and C. on the depiction of the knight's appearance but not of his personality.