Esto: Use the sword you found on the gross tentacles; ASTEROID SHOT. It would be quite hard to find an island out in the middle of the ocean, now wouldn't it be?
Attack!
Esto swings the blade, shooting small flaming rocks at the beast, some hitting and some hitting random barrels, cutting off it's smaller tentacles.
Esto: Ok, one down one to go.. Hey, what's that burning smell?
Esto: Oh god we were transporting gunpowder
KABOOM
Esto: [SCREAMING]
Meanwhile, on the mainland..
???: Hey squidscrotum, give me whatever money you have on you.
Ezra: forget off boy, I don't carry cash on me
???: Don't lie to me old man, I can tell you have something!
???: Hey, why are you looking up?
Esto collides with the mugger, immediately rendering him unconcious.
Esto: ugh... what the forget happened
Ezra: Well, I heard some explosion far off in the distance, and then you fell down here about 20 seconds later.
Esto: Well I think that something is going down, my ship just got attacked by a kraken..
Ezra: A kraken huh? Maybe you hit your head a little too hard
Esto: I know what I saw, anyway, do you have any idea if there are any inns around here?
Ezra: There's one right up ahead, since you're not in the best condition, I might want to escort you there.