The school dance starts for Graduation 1988 - a lot of people have gathered together. Alison is also there with Lance. She says she will ditch Lance after Carly has seen her to make her jealous of her dress. Neville and Floss are collecting tickets at the entrance.

David could not come to Summer Bay to the school dance to see Roo so Martin took her to the dance instead. Alf and Ailsa are very surprised to see her with Martin since she has never really liked Martin him.

Carly's secret admirer is revealed; he is Matt Wilson; he is at the school dance with her.

Alison sees Carly in the same kind of dress that she is wearing! She gets upset. Alison takes advantage of Lance even more. He agrees to buy something more for her. She asks if he can buy a car for her! He says yes after a while!

Matt and Carly are glad to see each other again as it has been a while since he moved to the city. They kiss.

Alison is about to pour a drink over Carly but it accidentally lands on Fisher instead! He is very angry (funny scene)

The awards for schoolwork starts. Fisher announces the winners. The award for Most Popular student is Alan Fisher. When Fisher is reading aloud, he gets emotionally touched (emotional music plays). The "Student of the Year" award goes to Bobby Simpson. Bobby hugs Fisher and receives a trophy for the award. (emotional scene)