Original image

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Select Edit>Copy.

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Select the Eye Dropper Tool (I) and select an orange color fromt the Jello Mold.
Create a New Layer.
Color your zombie's orange.
Use the Eye Dropper Tool to select a white or something close to it from the image. Color your zombie's eye whites.

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Select Layer>Merge Visible. Or right click on Zombie layer and select Merge Visible to merge eye color with your zombie.

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Hold the Shift Button to keep your zombie's proportions while scaling her down to fit inside the mold.

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Select the Gradient Tool (G).
From the Gradient Drop Down, select the third choice (black to white fade.)
Starting from the BOTTOM and MIDDLE of the Layer, draw a line UP to the TOP of the layer. This will cause the gradient to go from light to dark from top to bottom.

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Use your Color Picker to choose a dark green.
Select the Jello Layer. Brush one Branch onto this layer.
Select the Zombie Layer.
Brush one Branch onto this Layer.

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Select Background Eraser Tool.
Select a Large Brush size such as 2500.
Select Sampling Once.
Select Limits: Find Edges.
Set Tollerence to 20%.

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Once you have isolated the dragonfly, you can select the whole image by selecting Rectangular Marquee Tool.
Select entire image.
Edit>Copy

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Select Edit>Paste to place the Dragonfly image onto Jello/Zombie image.
Move it into position.
Keep Dragonfly image at the tip of the Layers pallet.
Select another Branch Brush such as the one I used here.
Select Jello Layer. Brush one Branch onto that Layer.
Select Zombie Layer. Brush one branch onto that Layer.

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Use it to select a small round section of the Jello Mold.

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Copy and Paste the round selection into the New Layer.
Move the new circle away from the Jello Mold so that you can see. it.

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Distortion: 12
Smoothness: 1
Texture: Tiny Lens
Scaling: 58

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Move it into place among the branches.

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Edit>Copy.

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Select Edit>Paste to place the image of the letter into the Jello/Zombie image.

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The Letter Layer should be just above the Jello Mold Layer and nothing else.

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Make sure that the Dragonfly Layer is beneath the Gradient Layer.
Flatten Image.
Et voile`!

Final result

