Hot Springs

 is the second level of Legends of Japan.

Bucket

 * Ah, this one's empty.

Found inside the cabin to the right.

Clothes

 * He took my outfit up the tree!

Found on top of the tree at the top corner.

Fish

 * This pond is so dirty.

Found inside the higher lake at the top.

Sushi

 * I like this little buffet, there's even sushi!

Found at the left end of the fence.

Stone Statue

 * This high fountain is very peaceful.

Found on the fountain at the bottom right corner.

Inn Guest

 * If I keep a low profile, I could go for a bath.

Found at the bottom left corner.

Pillow

 * I'm pretty sure I left my pillow near the pond...

Found under the stairs of the higher pond at the top.

Kunai

 * Oh no, I dropped my kunai in the water.

Found in a bucket under the higher pond at the top.

Flute

 * Leave your flute here, you won't need it in the springs.

Found inside the left cabin.

Plate

 * If I stack them, they take up less space!

Found at the right side of the fence.