This was a fun project!
Similar to the wood block letters, this is a mod podge craft.
I went to my local craft store, aka Debbie's work, and picked up the cute wooden magnet board, some wooden cut outs to use for the magnets that I got for about 25 cents a piece, and scrapbook paper. I picked out corresponding craft paper to the ones that matched avrie's nursery colors. I got the magnets at hobby lobby, and had the rest of the embellishments on hand.
Once again, i just traced the shapes and the magnet board to the paper and followed basically the same instructions that I used for the wood block letters I mentioned earlier.