Step 25
Give the tip of the pencil gradients. Give the exposed wood section of the pencil an Inner Glow by going to Effect > Stylize > Inner Glow...
Step 26
Duplicate the metal part that holds the eraser on, condense it and alter the gradient to give the illusion of ridges on top of the metal base.
Step 27
Using the Type Tool (T) apply some text to your liking. The font I've used is ITC Franklin. This completes the pencil.
Step 28
To create the stand-alone pink eraser, draw a rectangle and give it a tenuous gradient. Take a notch out of the edge of the eraser by drawing a random shape and subtracting it from the rectangle using the Pathfinder.
Step 29
Create eraser shavings by using the Pencil Tool (N.) How convenient! Arbitrarily draw some shapes and apply a pink to grey-pink gradient. Note, the easiest way to close an open shape is to hold down the Option key when you are ready to close the shape.