Why yes, there IS a pencil going up the anus of that dog. It's a pencil sharpener that barks when you stick a pencil up there and sharpen it! Just like how it would sound if you were to really stick a pencil up a real dogs butt. It's not an electronic sharpener so you'd have to do sharpen it manually (Yeah I know, that's preposterous in this day and age) Cute present! It's £6.95, which is like $9.63, I bet shipping costs about a billion dollars more.