(If you didn't dig Karin up on Day 3) Move the picnic table.
Use the shovel on the fresh grave and pick up Karin's purse.
Make sure to also pick up the matches from the ground.
Go to Edna’s Diner and give her Karin's purse.
Get the "flathead" screwdriver out of Edna's drawer located in the diner.
Go to the general store and give the reward money to Mrs. Phelps.
Examine the items on the shelf and purchase the tape.
This will trigger the "day to night animation".