Fooey

I finished all the tests in the Lake of Trials and won the battle in the middle island. When I talk to the ghost on the shore, it says something along the lines of "he takes his blade off his waist and flings it in the water." Then the ghost disappears, and I get nothing. What am I missing?

I just tried to play Avernum 4 again after playing 5, and this was a major problem. The mouse slowed to a crawl when opening inventory, and I quickly gave up. I don't remember this being an issue when I first played the game, and I'm using the same machine.