Have a look around this enchanting town. We recommend checking out People's Park (in front of the bus station), where you'll find many locals playing cards, chatting and knitting.
Also, if you envisage having some extra time during your stay in Yangshuo or you're not interested in the suggested activities for the upcoming days, you can take advantage of the afternoon to enrol in a cooking class. It's a lot of fun. In addition to teaching you how to cook Chinese food, the school takes you to the market and shows you how to shop. The most well known schools are Yanghsuo Cooking School (run by an Australian who lives in China; you can reserve a spot by email: email@example.com) or the classes offered at Cloud 9 Restaurant (run by a Chinese person; in this case, you'll have to sign up when you get there).
For dinner, we recommend any of the restaurants on West Street. While the most touristic street in the city, it still has much of its charm. Tourists mix with locals and foreigners who have settled in Yangshuo and run some of the restaurants and bars (you'll see that there are more than a few!). The typical dish of the city is beer fish.