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Theory:

     Just then he heard a noise. It was the sound of trickling water! He stopped and looked down. There was a small hole in the dike, through which a tiny stream was flowing,
 
     Any child in Holland is frightened at the thought of a leak in the dike.
 
     Peter understood the danger at once. If the water ran through a little hole it would soon make a larger one, and the whole country would be flooded. In a moment he saw what he must do. Throwing away his flowers, he climbed down the side of the dike and thrust his finger into the tiny hole.
 
     The flowing of the water was stopped!
Explanation:
 
Peter heard the sound of trickling water as he walked towards his house. He then took a break from strolling and began to seek the source of the noise. To his surprise, he saw a small hole in the dike near where he was, and water was running through it. As indicated in the introduction, even a child in Holland knows the significance of dikes and knows how even a minor leak in one would devastate their country. Any child in Holland might feel terrified at the possibility of a dike leak.
 
Peter was well aware of the dangers of water leaking through the dike hole. Even if it was a minor hole, he knew that a continual leak through the dike could cause a flood in Holland. Therefore Peter, the young child, was determined to do something to stop the water from flowing. He threw away all of the flowers he had acquired on his journey, climbed down the dike's side, and pushed his finger into the little hole. The water leak got stopped temporarily.
 
Meaning of difficult words:
  
S. No.
Words
Meaning
1.
Trickling To flow in a thin line
2.
Stream To move in a continuous flow
3.
ThrustTo push suddenly and strongly
4.
Frighten To make someone feel fear
Reference:
State Council of Educational Research and Training (2018). English Standard-10. The Little Hero of Holland- Mary Mapes Dodge (pp. 183-185). Published by the Tamil Nadu Textbook and Educational Services Corporation