Dreams and memory

  I was curious about where dreams fit with regards to memory...I read somewhere that dreams are just rehashing of past events in a different way.  This made sense to me because of a dream I just had.

   My dream was about my marriage proposal...yes I am getting hitched...crazy eh?  Any way when I dreamed about how I asked my fiancee it was a mix and match of different memories.  I distinctly remeber how I proposed...what she wore..and where I did it but in my dreams everything was different.  The way I proposed was the same but instead of Lisa wearing her Pj's she was wearing a chucky cheese out fit  that had a rip down the back.  This was  from another memory I had when I ruined a chucky cheese custume as a kid...I stepped on his tail.  This may sound like gibberish but my dream was a mix of different memories.  All my dreams tend to be that way...weird.