In varying degrees of undress, the chorus girls of the “Frolics of 1929” gossip that the show’s rich backer, brokerage head Craig Cutting, has “given the gate” to his mistress Aileen, one of the dancers, in preference to Antoinette “Tony” Landers, a dancer described as “a nice kid from a nice home.” As the girls chat, Tony is being seduced by her boyfriend, Bob North, the scion of a wealthy family, in the empty stadium at Yale, where he goes to college. Sometime later, as Tony prepares to go to her social debut at Craig’s party, Aileen confuses and upsets her with taunts about Craig’s “dividend checks” and “technique.” At the party, Tony learns that the dividend checks Craig has been giving her have not come, as she supposed, from the bonds her mother left her, but instead directly from Craig. She rebukes him for putting her in a position of obligation to him and refuses to succumb to his “technique” after he denies that he expects anything in return. Just then, Bob, whose suspicions have been fueled by Aileen, arrives and, after revealing that Tony is his wife, slaps her face with the cancelled checks, calls her a “dirty little tramp” and leaves. Tony confesses to Craig that she kept the marriage secret so that Bob would not be kicked out of college. When she asks Craig to help straighten out the situation, he refuses to interfere.