How can the prohibition of statues (images) in the home be reconciled with the presence of children's toys (such as dolls, puppets, and figurines of birds and animals)? And should one dispose of them when children grow up and then repurchase them for a new child? Is it permissible to buy them before the child arrives or to keep them in children's rooms for decoration?

It is permissible for children's toys that are images of animate beings to be present in the home as long as they are treated with disrespect (i.e., played with) and children play with them. There is no need to dispose of them after the child grows up. However, it is preferable not to keep them in the house unless there is a need, and similarly, not to buy them except when needed, as a way of avoiding the difference of opinion of those who deem them impermissible. As for decorating the house with these images, it is not permissible, because they were an exception made for the needs of children, so this exception should not extend beyond that.