In my series Senta and the Steel Dragon, not only do dragons eat the bones but their magically enhanced digestive tacks use every bit of what they eat, so that unlike every normal animal, they do not leave waste at all.
There is plenty of real life precedent for animals eating bones and all. The prehistoric hyaenadon even ate the teeth of it's prey. On the other hand, in an actual battle an intelligent creature probably wouldn't stop to eat. Just bite and move on.
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