Select the first option which is the Green PlumbBob (With the written words of 'Live Mode' displayed underneath the Green PlumbBob) and press the X button. Once you have placed the llama on your lot, press the SELECT button once more to bring up the menu displayed earlier.
Once you have found the llama, press the X button on your controller and select the colour you wish to have, once you have selected the colour, press the X button which will let you 'Plop' the object down on any flat surface. You can find the llama in Buy Mode -> Décor -> Miscellaneous, it should be the very first one. To access Build/Buy Mode, simply press the SELECT button on your controller, it is the option that is located next the the Town Map option. Once you have chosen wether you would like to save the game or not, you will be returned back to the START menu, to get the cheats you desire, you need the llama from Build/Buy Mode. After you have selected 'Let The Cheating Begin', another box will appear asking if you would like to save your game without Cheats activated, If you would like to save your current game without Cheats enabled, press 'Yes, Save', or if not, select the other option. If you do not want Cheats activated, select the other option. Afterwards, a box will appear asking if you would like to activate Cheats, select 'Let The Cheating Begin'. Then simultaneously press the four back buttons on your controller (L1, L2, R1, R2). Firstly, press the START button on your controller.