Hiccup raises a brow when Terra hands him the bag, but he's smiling so that's a good sign. Definitely something he's pleased to have, considering getting lost seems to be happening to him a lot frequently.

"Well then I guess you won't be able to object to me giving you this," He replies as he presses a wooden carving into her hand before she can object, taking the bag with the other. When she looks at it she'll see that it's a little carving of Armadillomon, exactly like him in just about every detail.