My children and I played a little while this afternoon. Our intrepid duo made their way to a known dungeon in the nearby woods. Climbing down into the darkness, they had to decide whether to rely on the Faun's natural darkvision (30ft) or light torch. In the end they did the torch. After entering the first chamber (which I described as very scary with dripping water, spider webs, crawling bugs, and such), the pair come across their first really scary monster... a ghoul.
Anyhow, it was difficult describing the concept of undead... but they understood Zombies, so I said they were a lot like that. I made scary hiss noises and displayed my hands like claws. There were bad rolls all around, so combat lasted several rounds. On their own accord, they thought to use oil, but the bad rolls kept them from getting the ghoul lit... I applaud their thinking nonetheless. During the fight, I had to remind my daughter of her flight ability to keep out of reach... I am guessing the idea of 3rd dimension might be a little difficult for a child of 7.
Anyhow, we had fun, laughed a lot, and felt the thrill of winning against something rather tough for 1st level characters.