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A real belter of a story, especially one which is funny or surprising. A yarn may be completely truthful, but it is rather common for a yarn to contain a Furphy or two, i.e. exagerrations for the sake of a better story.
It is important to note that listeners will rarely care whether or not a yarn is truthful, as the priority of a yarn is to entertain as opposed to providing an accurate recount. There is a classic saying in Australia illustrating this point, "never let the truth get in the way of a good yarn."
Me old man used to spin all sortsa yarns 'bout his time at the farm
Anyone who resembles a Lachlan
I met this bloke with the other night called Lachlan I have never heard so much yarn in my life
To be intoxicated on Colt 45. The phrase comes from the drink tasting like yarn when intoxicated.
Dude, I'm so fucking yarned right now.
I was so yarned when I wrote the definition for yarned on urban dict.
The term used in male prisons, mostly located in the midwest, for good ol knitting.
To knit doesn't seem as masculine as yarn wrangling for these boys.