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Maybe change the monotonous ringing of the clock, to a jingle of ticking? and maybe not have 7 rooms to represent the 7 stages of life... and obviously, why not have like a Halloween party cause... it'll fit the scary theme, but in a cheery sort of way.

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at the beach

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a bounce house

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keep it a castle, but just make it, so that there is no red death and make it in the middle of a cheery town where the people were invited

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The Mushroom Kingdom. It just oozes happy.

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I would give it a happier mood by using words that have positive descriptions.  Instead of a creepy castle the party would be held in a sunny park under a clear blue sky.

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a park