I didn't think of this until now, but this might be more difficult than I thought. Well...the Totoro has brown fur and a white underbelly with brown upside down "V" marks. Which means if I do this there's going to be two or three layers of fur to applique. That might be a little tricky.
Here's a link to a picture of the Totoro (along with a smaller one and a white one...the one I'm talking about is the biggest one with the white one on its head). Maybe that'll help.
http://www.student.oulu.fi/~markkumu/komero/totoro.jpg