"Don't you think it looks better on me than it did on you?" asked Mistress Puss.
"It surely is very becoming to you," replied the generous unselfish rabbit. "It was a little too long for me anyway and I'll tell you what I'll do. I'll let you keep it if you will give me that sharp knife in exchange for it."
The cat gave Mr. Rabbit the knife and he started out into the deep forest with it. "I've lost my tail but I've gained a knife," said he; "I'll get a new tail or something else just as good."
Mr. Rabbit hopped along through the forest for a long time and at last he came to a little old man who was busily engaged in making baskets. He was making the baskets out of rushes and he was biting them off with his teeth. He looked up and spied Mr. Rabbit with the knife in his mouth.
"O, please, Mr. Rabbit," said he, "will you not be so kind as to let me borrow that sharp knife you are carrying? It is very hard work to bite the rushes off with my teeth."
Mr. Rabbit let him take the knife. He started to cut off the rushes with it, when snap went the knife! It broke into halves.
"O, dear! O, dear!" cried Mr. Rabbit. "What shall I do! What shall I do! You have broken my nice new knife."
The little old man said that he was very sorry and that he did not mean to do it.
Then Mr. Rabbit said, "A broken knife is of no use to me but perhaps you can use it, even if it is broken. I'll tell you what I'll do. I'll let you keep the knife if you will give me one of your baskets in exchange for it."
The little old man gave Mr. Rabbit a basket and he started on through the deep forest with it. "I lost my tail but I gained a knife. I've lost my knife but I've gained a basket," said he. "I'll get a new tail or something else just as good."