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In the final chapters, Bilbo aids in the conflict by giving Bard the Arkenstone for peace negotiations, leading to a battle involving various armies against goblins and wargs. After the battle, Thorin seeks reconciliation with Bilbo before his death, and Dain takes over leadership of the dwarves. Bilbo returns home to find his belongings auctioned and his reputation diminished, but later receives news of prosperity from Gandalf and Balin.

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