A bank note is found inside the soft toy (5)
I believe the answer is:
tiger
'soft toy' is the definition.
Although both the answer and definition are singular nouns, I cannot see how they can define each other.
'a bank note is found inside' is the wordplay.
'a bank' becomes 'tier' (both can mean a row of similar things).
'note' becomes 'g' (musical note).
'is found inside' means one lot of letters goes inside another.
'tier' placed around 'g' is 'TIGER'.
'the' acts as a link.
Can you help me to learn more?
(Other definitions for tiger that I've seen before include "Large cat with black stripes" , "One noted for stripes" , "Dynamo" , "Carnivorous large cat" , "Large striped cat" .)