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Donkey Kong Arcade Game
Located in Frantic Factory, is the original Arcade machine. To activate the lever, complete the blast barrel course located in the level. Then use your B move (Gorilla Grab) to activate the Arcade machine. Complete the Arcade game twice to get the Nintendo Coin.
Once you have 6 Banana fairies, this game will be available to play from the Mystery menu. It is one of those games which cycles through the four levels, getting harder and harder. Good luck.