VBA Automatic Timetable Population

I have a worksheet with children's names and their 3 preferences (day & time) for swimming classes. I have a second worksheet that contains a timetable with days Monday-Saturday across the top and down the side 6 available slots for each time available for each class time.
I need a VBA that will take the child's first day/time preference and if available place their name in the timetable with their corresponding grade and then highlight the child's assigned preference in blue in the first worksheet. If the first day/time preference is taken, then see if the 2nd preference is available and if this is taken, then check the 3rd preference. If all preferences are taken then highlight the child's name in red so that I know that they have not been assigned a spot in the timetable.
If all of the 6 available slots for a specific day/time are filled when it checks the child's first preference then I want it to go to the next preference and so on.

Worksheet 1
Column A = Name
Column B = Grade
Column C = Preference 1 Day
Column D = Preference 1 Time
Column E = Preference 2 Day
Column F = Preference 2 Time
Column G = Preference 3 Day
Column H = Preference 3 Time

Worksheet 2
Column A = Class Time
Column B = Monday (cells for child's name)
Column C = Grade (child's grade)
Column D = Tuesday (cells for child's name)
Column E = Grade (child's grade)
Column F = Wednesday (cells for child's name)
Column G = Grade (child's grade)
Column H = Thursday (cells for child's name)
Column I = Grade (child's grade)
Column J = Friday (cells for child's name)
Column K = Grade (child's grade)
Column L = Saturday (cells for child's name)
Column M = Grade (child's grade)

Thanks for your reply Kaper.

The children are placed in the spreadsheet as they are received from the parents and places are given on afirst in best dressed situation, so the first child on the list is the first one received back from the parents and so they get the first pick of day/time.

I have attached a sample workbook that contains dummy data.

Kaper that is fantastic thanks very much!

I was wondering if you would be able to make a change? I have made a specific class time either a grade 1 or a grade 2 level class only, so when it goes through the list of children and their preferences they will only be assigned to a preference if it is in their level, therefore if a child is a Grade 2 but their first preference day/time is allocated a Grade 1 class only, then it goes to the next preference, then the next if the same occurs, then if none available their name is highlighted in red.

I have attached an updated spreadsheet with the changes to the timetable layout.

Once again, thanks very much for your help

Thanks so very much Kaper it works perfectly!