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<colloquial [expression]> If the "penny has dropped" it means someone has finally realised the situation they are in after possibly being unaware of it for a long time, depending on the situation. ==> The phrase dates back to the [Victorian Era] and the popular penny-slot arcades. The penny would often stick halfway down the slot and the user would then have to either wait, or give [the machine] a thump before the 'penny finally dropped' and they could begin playing.
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