During the performance, Isabella and Gordo expose Paolo (who is actually the one who lip syncs) by turning on his microphone, revealing his real voice. Embarrassed, Paolo runs off stage and is ambushed outside by paparazzi. Isabella introduces Lizzie to the crowd, and the two of them sing "What Dreams Are Made Of". When Isabella leaves the stage, Lizzie finishes the song solo, displaying a newfound confidence. Later, they all celebrate at the hotel's after party, where Ms. Ungermeyer rescinds Gordo's punishment. Lizzie's parents tell her she is grounded for the summer, but they still are proud of her. Lizzie and Gordo sneak away from the party to go up to the roof, where they promise to never let things change between them. The two kiss and then rejoin the party before they get into more trouble. The film ends with fireworks spelling "The End" and the animated Lizzie, doing a parody of Tinker Bell, winking at the audience and closing the film and the series.