Chp. 17, the Clouds Burst

CHARGE!!!!

In the morning, Bard returns to get Thorin to accept an agreement. When the dwarf again refuses, Bard reveals the Arkenstone. Thorin is crushed, and he turns to Bilbo in rage when the hobbit reveals that he is the one who gave Bard the treasure. Thorin is about to have a Major temper-tantrum, but then one of the messengers throws off his cloak and is Gandalf.The wizard commands Thorin to let Bilbo speak. The hobbit claims that he only took his fair share of the treasure as his contract as burglar had said. Thorin has no choice but to agree, and he offers to pay a fourteenth part of the treasure to regain the stone. The men and elves like this. Thorin, however, secretly hopes that before they make the exchange, other dwarves, who are marching toward the mountain with an army under the leadership of Dain, will be able to capture the stone by force.The new dwarf army threatens the elves and men, when they are about to fight Gandalf tells them that a new danger has come: an army of goblins and Wargs who intend to take the treasure for themselves. The dwarves, elves, and humans are thus united against the goblins and Wargs in what is called the Battle of the Five Armies. The end seems close at hand when the hobbit’s keen eyes spy something in the distant skies: the great eagles are flying toward the battlefield. At that moment, however, a stone falls from the mountain and hits Bilbo on the head, and he loses consciousness.

Chp. 19, the Last Stage

People he actually enjoys company with!

The dead are buried, and Dain is crowned the new King under the Mountain. Bard is the new Master of Lake Town. Soon, it is time for the hobbit to return home. He travels with Gandalf and Beorn, taking the long way north around Mirkwood, for nothing could make him to enter that forest again. They spend most of the harsh winter at Beorn’s house. Finally, Bilbo and Gandalf travel the last, long stretch of road back to the hobbit lands. Approaching his home, Bilbo receives a wonderful surprise. He has been presumed dead, and the contents of his hill are being auctioned off. Bilbo is never again really accepted by the other hobbits. They view his adventuring with skepticism, and his return with gold and tales of dragons and war only confirms the hobbits’ suspicion that Bilbo has gotten in over his head. Most important, he's still alive and enjoys the visit of his other friends.

Chp. 18, the Return Journey

Going back isn't as fun.

When Bilbo wakes up, he is still lying on the side of the mountain, but he is otherwise unharmed. He sees that his side has won the battle against the goblins and Wargs. A man comes searching for Bilbo but cannot find him until the hobbit remembers to take off his magic ring. Bilbo is carried back to the camp where Gandalf waits and is delighted to see the hobbit alive. However, Bilbo must say farewell to Thorin who is dying. Thorin asks Bilbo’s forgiveness for being so selfish.Fili and Kili have also been killed, but the rest of the dwarves have survived. The eagles were a great help, or so says Gandalf. Yet things still might have gone badly were it not for the sudden appearance of Beorn in the shape of a bear. This sent the rest of the goblins scattering, and now they are all either dead or in hiding.

Chp. 16, A Thief in the Night

Searching for something you'll never find is always a waste of time...

With Thorin being overly obsessed about the arkenstone and the dwarves worried about the army on their doorstep, Bilbo decides that he must find a solution. With the help of the ring, he sneaks away from the mountain at night and into the camp of the lake men and the wood elves. There, he reveals himself and is brought before the leaders, Bard and the Elvenking.. He gives them the arkenstone. He gives it to Bard to be used for bargaining. They ask him to stay in the camp for his safety, but Bilbo decides to return to the mountain. On his way out of the camp, he runs into Gandalf. Gandalf has just arrived from his other affairs to see the end of this adventurer. Newly hopeful, Bilbo sneaks back to the mountain unnoticed.

Chp. 15, The Gathering of the Clouds

Is this source reliable? 

A raven informs Bilbo and the dwarves of Smaug’s death, and they are super happy. However, this doesn't last long, as the raven goes on to to tell of the huge army of humans and elves marching toward them, as well as the suffering of Lake Town’s people. Thorin claims the treasure as his inheritance and plans to fight for it, however, regardless of what the people of Lake Town have suffered.Under Thorin’s orders, the company retreats to the mountain and protects it by building a formidable wall at the main gate. From there, they watch as Bard and elves approach. Bard tells them that he killed Smaug and that Lake Town has been destroyed. He asks that the dwarves be generous in sharing the wealth of the mountain.. Thorin refuses. He feels that he owes the humans nothing since the gold belonged to his people originally. The mountain is declared at war: nothing and no one will be let in or out if elves and men can help it. Bilbo would gladly share the treasure. However, no dwarf questions Thorin, and the hobbit has no say in the dwarves’ decision.

Chp. 14, Fire and Water

Tonight, we will be serving roast Lake Town.

Meanwhile, Smaug flies toward Lake Town to get revenge for the cup. The people of Lake Town see the dragon coming from a long way off  and sound the alarm. Their readiness is of little help, for Smaug flies over the town and lights every roof on fire. The men’s arrows bounce off the dragon’s hide. When most of the men have abandoned the city, one man, Bard, the captain of the archers, readies his last arrow. Suddenly, a thrush lands on his shoulder and tells Bard to watch for the dragon’s weak spot at his left breast. Bard looks, sees the open patch, and shoots. Itgoes through the chink in the dragon’s armor and kills the dragon, destroying the rest of Lake Town as he dies. Bard manages to dive safely into the water. Some blame the dwarves for waking the dragon, but most assume that they too are dead. Then the lake men remember the gold in the Lonely Mountain, and they think eagerly of how the wealth could rebuild their town.The elf king hears of this and with the lake men, marches to the supposedly unattended treasure.

Chp. 13, Not at Home

Huh... who knew it was actually Hobbit sized?

Smaug guesses from Bilbo’s riddles that the company is somehow involved with the men of Lake Town, so he flies there to get revenge. The hobbit and dwarves hide in the dark passage until they can't wait any longer. They slowly walk down towards Smaug’s lair. When Bilbo determines that Smaug is gone, the dwarves run out to the treasure super excited, remembering the happy days. Bilbo takes only a few things. One of them is the Arkenstone, a priceless gem that Thorin seeks but which the hobbit hides from him. Bilbo also finds a marvelous coat of mail made of mithril, a strong metal that is more valuable than silver or gold.
After they're done rummaging through the treasure Thorin leads the company through the passages of the mountain and to the source of the River. They still don't know what to do with Smaug when he returns. In the meantime, they are desperately hungry, so they follow the river down from the mountain to an old guard-post cavern. There, they rest, eat, and wdream about treasure.