I had 3 candles on the beginning of year 3...I put a diamond in there and they disappeared, how do I get 4 so I can get the statue of perfection?
Did you go to sleep that night? Placing the diamond is intended to give you another crack at Grampa's ghostly evaluation, but that's supposed to happen that night when you go to bed, just as it does during your sleep at the end of year two. You re-trigger the same dream evaluation so that you can get another shot at getting four candles if you've raised your score since the last time.
