Stephanie and her two friends Gia and Melissa have formed a band with Kimmy, and they plan to compete in the "Wake Up, San Francisco" young talent search at the Smash Club. Stephanie and her band mates decide that they don't need Jesse's help because they think looking good is more important than sounding good. Stephanie feels absolutely humiliated when she and her band mess up onstage because they paid too much attention to how they look instead of how they sound. Michelle's friends Derek Boyd and Lisa Leeper, who sang a duet, win the talent contest. Stephanie admits to Jesse that he was right when he suggested that Stephanie and the band should practice to improve their sound before performing, and Jesse hopes that the humiliation hasn't turned Stephanie off to music. For an economics project, D.J. invests fictional money, but her success impresses Danny and Joey so much that they start investing real money.