Jeff arrives on campus, thrilled that summer's around the corner. He runs into Annie, who pauses to make out with her boyfriend Vaughn before joining Jeff to study. On their way to the library, Annie and Jeff bump into Dean Pelton.
Dean Pelton assumes that Jeff and his whole posse will be attending the Transfer Formal, Greendale's fifth school dance of the year, after hearing the news that Britta has been nominated for Transfer Queen.
At study group, Britta and the gang talk about their summer plans. In need of a new place to live, Troy inquires about Abed's dorm room. Abed ignores Troy's interest in being roommates, changing the subject.
Dean Pelton stops in to give the study group an update on the Transfer Dance. Since the title "Transfer Formal" didn't seem to go over well with the students, the Dean has renamed it the "Tranny Dance."
Britta completes her final therapy session with Professor Duncan, who encourages her to get dressed up, attend the Tranny Dance and accept her nomination for Tranny Queen with pride.
Jeff runs into Professor Slater in the hallway. Slater suggests she might have handled their breakup poorly and asks Jeff for another chance.
Troy attends the end of the year kegger in Abed's dorm room. While there, Troy drops a few more hints about the two of them possibly living together next year, but Abed blows him off again. Hurt by this, Troy turns to Pierce for advice.
At the kegger, Vaughn tells Annie he was asked to join an elite hacky sack team at a school in Delaware.
At the Tranny Dance, Annie announces she'll be travelling to Delaware with Vaughn for the summer. Then, Annie pulls Jeff aside to tell him that she's decided to go to Delaware permanently with Vaughn. She asks Jeff not to tell the others until after she's left.
Troy confronts Abed in the study room about being roommates. Pierce has asked Troy to move in with him, which Abed thinks is a great idea. Abed explains that he and Troy shouldn't live together because they're best friends. Troy still feels hurt.
While chatting at the snack table at the Tranny Dance, Duncan lets it slip to Slater that Jeff and Britta slept together. Slater confronts Britta. They go at each other, trying to win over Jeff's affection. Britta pulls out the big guns, declaring her love for Jeff in front of everyone at the dance.
After Britta's announcement, everyone stops and stares in silence at Jeff, waiting for a reaction. Dean Pelton hands Jeff the microphone, prompting him to address the Slater and Britta situation. Everyone at the dance divides themselves into two groups, Team Britta and Team Slater. Jeff walks away, unable to choose.
Troy accepts Pierce's offer to become roommates. Pierce is thrilled and tells Troy to come over on Sunday so the tailor can fit him for a uniform. Troy's confused.
Unable to choose between Britta and Slater, Jeff leaves the dance and finds Annie standing outside with her bags. In the end, Annie decided to not leave for Delaware with Vaughn.
Feeling the moment, Annie and Jeff kiss.