Audio problem: As Fred slides down the banister he cries out "Whee!" but his mouth remains closed. (00:16:50)
Audio problem: When Drop Dead Fred is hanging from the yellow rope outside the boat, and there is water spraying up, Fred says something like : "I dunno" and laughs. Notice this doesn't match his mouth movements.
Answer: When she trapped Fred in the box, she was closing off the part of her imagination. The part of the brain that stops believing in fairy tales and decides to grow up.