Jan went along the road to the market town, with the calf behind him. And there was three students who were sitting at the door of an inn and  saw him pass, and they thought that it would be fun to do a joke on them so one of them went up to him and said:

"Good morning, friend! How much are you asking for your goat?"

"Goat?" answered the peasant in surprise. "This is not a goat, it's a BABY COW!"

"Hmm!" said the student politely. "And who told you that?"

" My wife did," answered the peasant. 'Jan,' she said, 'go to the market and try to sell our calf,' I am sure she said calf.

"Your wife was lying," said the student. "Anybody can see that is a goat. If you don't believe me, ask the next person you meet on the road." And he went off, laughing.

Jan continued his walk, a little troubled in his mind, and before very long he saw the second of the students coming towards him. "Stay a minute, sir," he cried. "Do you mind looking at this animal and telling me what sort of a creature it is?"

"Well it's a goat, of course," answered the student.

"You're wrong," said the peasant. "It's a calf. My wife says so, and she could not be mistaken!"

"Have it your own way!" replied the student, "but if you'll take my advice you won't pretend that animal is a calf when you get to the market!"

"Ah!" said Jan, and he went on his way, muttering to himself, "If it is a goat it might to have horns," he said to himself. And it hasn't got any horns. But if it is a calf it will have horns when it grows to be a cow. Perhaps it is a goat-calf. I wonder whether goat-calves have horns!" And he continued to be confused until he was suddenly interrupted by a shout from the side of the road. 

"Hello, mister!" cried the third student. "How much do you want for your goat?"

"Goat? Goat?"murmured the peasant.

"Here, take the thing. If it's a goat, I don't want it, for I was sent to market to sell a calf. You may have it for nothing. I'll give it to you!" And so saying, he pushed the cord into the student's hand. Then turning his back without another word, he retraced his steps towards home.

When his wife heard what had happened she was furious. "You fool! she cried, "could you not see that you were being made a fool of?" And she called him all the names she could ever think of, till the poor fellow felt a-shamed. Her anger did not last long, however, for she was a good woman and she knew that her husband's simplicity was not his fault, but his misfortune. Fortunately, she had quite enough wits for them both, and instead of wasting more time, she set to work to think how she might pay back the jokers. It did not take her long to think of a plan, and as the first step towards carrying it out, she put on her bonnet and went off to the town, where she called at three inns, paying at each of them for a dinner for four persons, the dinner to be eaten on the next market day. Returning home, she explained the plan to her husband and gave him very exact instructions as to the part he was to play.

When the next market day came round Jan set off for the town, and by the door of the very first inn on the road he met the three students. They exchanged a sly smile when they saw him, and one of them said: "Good morning, good fellow. And how do you find yourself today? I notice that you have no goat with you this time."

"Ha, ha, ha!" laughed Jan, "that was a good joke you played on me. Come in and have a drink.

The students accepted Jan's offer excitedly. The students went into the tavern; and Jan ordered wine. When the time came to pay for it, he called the serving-maid, and taking off his cap, spun it round three times on his finger. "Madam," said he, "everything is paid for, isn't it?"

"Yes, sir, and thank you very much," answered the serving-maid.

The three students watched this procedure with a good deal of surprise, but Jan carried off the whole affair as if it were the most natural thing in the world. "Now, my friends," said he, "the doctors say it is bad to drink on an empty stomach. What do you say to a good meal?"

"Excellent," cried the students.

"Very well then, come along with me to the next inn, and you shall have one."

Laughing in their sleeves at the peasant's simplicity, the students followed. Arrived at the inn, Jan ordered dinner for four, and a heap of good things were put on the table. After the repast, he called the serving-maid to him, took off his cap as before, and twirled it round three times on his finger. "Now then," said he, "everything is paid for, isn't that so?"

"Certainly, sir," answered the serving-maid, "and I am very much obliged to you."

At this the three students opened their eyes even wider than before, but Jan took not the slightest notice of their astonishment.

"What do you say, friends," he asked, "shall we go on to the town together and wash the dinner down with a glass of ale each?"

"Of course" answered the students joyfully, and so they followed Jan to the town, where he entered a third tavern and ordered drinks. Then, taking off his cap once again, he twirled it round three times on his finger, and said to the innkeeper: "Everything is paid for, isn't it, my good man?"

"Certainly, sir," said the innkeeper, bowing.

But this was more than the curiosity of the students could stand.

"Look here, mate," said one of them, "how is it that you are able to get food and drink for nothing everywhere you go, simply by twirling your cap in people's faces?"

"Oh, that's easily explained," answered Jan, "This is a magic cap. It was left to me by my great-great-grandmother, who was a witch.So I have heard say. If I twirl it on my finger, and say, 'Everything is paid for,' well, everything is paid for! You understand me?"

"Perfectly," said the student. "My faith, but that is a wonderful cap – the very thing to have when one goes a journey! Will you sell it to me?"

"How much will you give me for it?" asked Jan.

"Two hundred francs!"

"Nonsense! Do you think I am going to brave my wife's anger for a paltry two hundred francs?"

"Well then, three hundred."

"Not enough! My wife says it is worth a fortune."

"Four hundred."

Jan shook his head doubtfully, and, seeing his hesitation, the student cried:

"Come now, we'll give you five hundred, and not a penny more. You'd better accept, or you'll lose your chance."

"Well then, hand over the money. I don't know what my wife will say, but . . ."

And so it did. Then the three went away, laughing to each other on the back in their joy at having got the better of the simple peasant.

That afternoon the students, eager to take advantage of the qualities of the magic cap, invited about fifty of their friends to a splendid feast at the largest inn in the town. Everybody who was invited came, as you may imagine, and the resources of the innkeeper were taxed to the utmost to supply the hungry and thirsty crowd with all that they wanted.

When the feast was ended, the student who had Jan's cap called the host, and twirling it three times round his finger, said: "Now, sir, everything is paid for, isn't it?"

"Paid for?" cried the innkeeper. "What do you mean? I haven't seen the colour of your money yet."

At this reply the student's face fell, but one of his companions snatched the cap from his hands. "Idiot," he said, "you twirled the cap the wrong way! I was watching the peasant carefully, and he twisted it like this." So saying, he gave the cap a twirl and said: "Now then, my good sir, I think you will agree that everything is paid for."

"I don't know whether you are trying to play a joke on me?" answered the innkeeper grimly, "but your idea of humour is not mine. You had better pay up at once, before I call the police!"

"Here, let me try," cried the third; and in his turn he twirled the cap, and, fixing the host with his eye, repeated that everything was paid for.

At this the innkeeper flew into a passion, and made such a fuss that the room went crazy. It was only by promising to pay him at once that the innkeeper could be quietened down and prevented from calling the police. The banquet cost a good round sum, and as the three students had no money left, their invited guests had to promise to pay the innkeeper, which they did with much grumbling. Afterwards they took their three hosts outside and dipped them into the horse-trough to punish them for their bad taste in playing practical jokes on their friends.

And a few miles away, in their little cottage, Jan and his wife sat counting the five hundred francs he obtained.