Fixing and ringing the bell is the second-to-last stage of the island. Once you have the map to the location of the buried Time Capsule, you can use the peanut butter crackers to get Spitsy the dog to dig it up. (Note : it will not come out of the hole - push the clasp.)
(see related questions)
On Big Nate island the three girls stand on the playground to the right of the school .
its where the talking girls are standing
near the playground
Under the playground
where the chatty girls are.
The treasure on Big Nate Island is in the long-lost Time Capsule. (It is actually in the playground, where some girls are at recess. To get it, fix the school bell and ring it. The girls will leave, and you can use Spitsy the dog to dig up the Time Capsule. (Give him a peanut butter treat and he buries it.)
Recovering the Time Capsule is the object of Big Nate Island. It is actually buried under the Playground...there are some girls at recess standing right on top of it. But it is not easily uncovered. Knowing where it is (under the talking girls at the playground) does not allow you to dig it up. You still have to find the clapper, fix the bell, and locate the map to the capsule. (see the related question)
The Treasure is on the ground where the girls that are ignoring you are
its where the girls were "yakking"
at the playground
under the girls at the playground.
in the middle of the girls on the playground!