Fern tells Arthur, Buster, and Muffy a scary story, but they find it disturbing. Nobody wants to be near Fern because of her story, so she tries creating one that is fun instead of frightening. Mr. Ratburn's class is doing projects with the preschoolers, and D.W. and Binky are made partners. They decide to do a dance for their project, but teaching D.W. how to dance proves to be a handful for Binky. Things get worse when Molly and Rattles tease him and he twists his ankle. However, D.W. dances successfully in front of everyone, much to Binky's delight.