In Los Angeles, California, the Garbagio brothers, Vinnie, Vito, and Murray, accuse their businessman father, Old Man Garbagio, of embezzling $250 thousand from the family restaurant. Under duress, the Old Man admits to hiding the cash under the front seat of a red Corvette parked out front. Soon, prep school student Dan Garten follows a pretty girl after she leaves the Garbagio restaurant. His pickup line does not impress her, but when he claims to be the owner of the red Corvette, she accepts a ride home. When the Garbagio brothers see Dan Garten in the driver’s seat, they order him out of the car. Instead, he races away, and the brothers jump into a taxicab and chase him. At Monroe Preparatory High School, founder, Mr. Monroe, welcomes students at the start of the school year and tells them they are the future of America. As he introduces Dean D. B. Stockwell, Dan careens onto the outdoor stage in the red Corvette and knocks D. B. Stockwell off the podium. The dean promises to discipline Dan, who drops the ignition key on the floor, discovers piles of cash under the driver’s seat, and drives off. Mr. Monroe informs Stockwell that a big promotion awaits him if he can convince wealthy parents with daughters attending the finishing school down the road, to enroll their sons at Monroe Prep. Monroe’s plan is to open similar prep schools all across the country. He also expects a record of one-hundred-percent student graduation, nothing less. Elsewhere, Dan transfers the stolen cash to his knapsack, and heads to his dormitory. There, he and his roommate, Greg Novak, greet each other like old friends since they have been expelled from the same schools in the past. Soon, D. B. Stockwell orders Dan to report to a storage shed for his punishment. At a nearby bar, Dan and Greg Novak overhear one of the Garbagios wave a generous tip at the bartender for any information about the whereabouts of Dan and the stolen car. Dan hides behind dark sunglasses, and quickly leaves with Greg. At the storage shed, Stockwell orders Dan to clean all the equipment inside. Dan completes the task in record time by paying fellow students with his newfound money. When Stockwell returns and sees the shed is neat and tidy, he knows something is peculiar. Later, Dan receives a “D” on a test paper. As Professor Stanley J. Lennox explains the grounds for his poor grade, Dan hands him several hundred dollars, and the teacher changes his opinion, exclaiming that Dan is his best and favorite student. In the gymnasium, D. B. Stockwell picks Kathy, the lone female prep student, to demonstrate some wrestling holds. However, Kathy knows self-defense, and drops Stockwell to the mat several times. Dan and Greg are bored and sneak out of class to watch girls showering at the finishing school through Greg’s binoculars. At the Garbagio restaurant, the Old Man notices Professor Lennox spending a lot of money. He mentions this to his sons, and suggests they follow Lennox and find out what he knows. The next day in class, Lennox has a hangover, and is aggravated by the sound of pencils being sharpened. Pretending to be FBI agents, two Garbagio family members arrest him, and knock him unconscious when he protests. An agent, Edgar Ness, tells Dean Stockwell that they suspect a Monroe student has stolen money from the Garbagio crime family, and he has orders to go undercover at the school. Stockwell telephones Vinnie Garbagio and offers to return the stolen money if Garbagio wipes out his gambling debts and pays him a twenty-five percent finder’s fee. Garbagio agrees, but warns Stockwell not to screw up. Stockwell arranges for student Carl DeLuca to spy on roommates, Dan and Greg, in exchange for an all “A” report card. When Greg discovers Dan has the stolen money, the friends sneak into the nearby finishing school at night to hide the cash in a garden statue. Dan becomes smitten with student Jill Monroe, and asks her on a date. Elsewhere, Edgar Ness updates Old Man Garbagio on the investigation. Edgar ransacks Dan’s dormitory room looking for the money, but talks his way out of an awkward situation when Dan returns. Vinnie Garbagio telephones Stockwell and demands his money, while Stockwell assures him everything is going according to plan. When Jill Monroe visits Dan at Monroe Prep, Carl mistakes her for a prostitute with similar blonde hair and green eyes whom Greg hired to service fellow students. When Carl learns Jill’s identity, he and Stockwell arrange for the real prostitute to seduce Dan and make Jill jealous. In turn, Jill seduces Carl by the dorm window to make Dan jealous. Dan tries to explain that he was set up when he notices Jill, but she runs away. As Stockwell watches the drama with binoculars from his office, the Garbagio brothers appear, and threaten him. Dan hears the exchange and tells Greg it is time for “Plan B.” Later, Dan and Greg sneak into a dance at the finishing school. Carl and Edgar follow. Dan sees Jill, who refuses to accept his apology. As Dan leaves the dance, he stops by the garden statue and retrieves the stolen cash. From afar, Carl sees Dan remove money, and reports his actions to Stockwell. Later, Stockwell leads the Garbagio brothers to the statue, but the money is gone. A nervous Stockwell promises he will find Dan and get the money back. Meanwhile, Edgar Ness pushes his way into Dan and Greg’s dorm room. When the roommates play dumb, Edgar threatens them with a gun, then abducts them. Soon, Stockwell finds Dan and Greg stalling Edgar on school grounds. Stockwell knocks out Edgar, and the roommates knock Stockwell unconscious and return to their room. Vinnie and Vito Garbagio kidnap Jill Monroe, and send a message that they will kill Jill if Dan does not return the money. With the help of Greg and Kathy, dressed as commandos, Dan sets up an ambush. He hides in a lily pond on the finishing school campus. When Dan tosses Old Man Garbagio the knapsack filled with money, Kathy turns the fountain on high and the gangster drops the cash as he is lifted into the air by a gush of water. Greg grabs the knapsack and runs. Flaming arrows, an ambush, and a frisky finishing school security guard put the Garbagio brothers out of commission. Soon, Greg arrives in the red Corvette with the knapsack. Dan motions for Greg and Kathy to join him and Jill, but Greg prefers to remain behind with Kathy. Dan and Jill drive away with enough cash to spend on their next adventure.