There was nothing complex about this story yet, could get there pretty easily once you start fleshing things out though XD The confusion and jumping about is totally fine seeing as it's basically first draft :)

And I think a fun challenge might be trying to cover the serious story in the funny voice (which may turn sarcastic at points, or at least it would if I was writing it) :D

I also think you should stick with the dragon's name and have Kat nickname him Fruitcake.

Have fun with the editing/polishing whenever you get around to it :D