"Now, little Niels," said he, "what dost thou say to this sword?"
"It is not so badly made as one might expect from such a bungler," said the boy.
"Canst thou show anything like it?" asked the King.
"I believe I can," answered Niels.
"Well, where is thy sword?" said the King.
"In my waistcoat pocket," replied Niels.
Hereupon there was a general laugh which was increased when they saw the boy take a little packet out of his waistcoat pocket. Niels opened the paper in which the blade was rolled up like a watch-spring. "Here is my work," said he. "Will you just cut the thread, master?"
The smith did it willingly, and in a moment the blade straightened out and struck him in the face.
Niels took out of his other pocket a hilt of gold and screwed it fast to the blade; then he presented the sword to the King; and all present were obliged to confess that they never before had seen such matchless workmanship.
Niels was declared the victor, and the master was obliged to acknowledge that the boy had made both the lock and the knife.