Babe O'Day, a vivacious flapper, announces that she has broken up with Beef Saunders, a brawny and possessive football player. Babe wants a new boyfriend who doesn't care about old-fashioned rules of propriety ("Flaming Youth"). Tom asks his girlfriend Patricia, to help him study for the test, but she is busy with sorority plans, so she recommends that he work with her studious cousin, Connie Lane. The boys marvel that Tom is remaining cheerful despite his circumstances, and Tom explains that college is the time for "Happy Days". Connie has a crush on Tom, but she says that she will "Just Imagine" that he's in love with her. Babe informs Bobby Randall, substitute player on the football team and Tom's roommate, that he is now her boyfriend. Connie and Tom meet to study and are initially uncomfortable working together, but soon they find they have a lot in common and similar philosophies of life ("The Best Things In Life Are Free").