Knitting the head is probably the most complicated part of the project, but actually its quite easy...
I will use some common knitting abbreviations, they are easy to find in the internet, or here http://www.knittinghelp.com/videos/knitting-glossary
(they even have a video of how to do it!)
CO 8 stitches and distribute them evenly between 4 dpns (double-pointed needles, the ones you knit socks with) and join the knitting to start the round.
Row 1: needle 1 - kfb, k1; needle 2-k1, kfb; needle 3 - kfb, k1; needle 4 - k1, kfb.
Row 2: k all.
Row 3: needle 1 - kfb, k2; needle 2-k2, kfb; needle 3 - kfb, k2; needle 4 - k2, kfb.
Row 4: k all.
Continue until you have 48 sts (12 on each needle).
Knit (k) 12 rows.
Row 1: needle 1 - k1, k2tog, k to end; needle 2 - k to last 3 sts, ssk, k1;
needle 3 - k1, k2tog, k to end; needle 4 - k to last 3 sts, ssk, k1.
Row 2: k all/
Row 3: as Row 1.
Continue until you have 40sts.
Sew on two buttons for eyes, or embroider them.