Cadets Dan Crawford (Ronald Reagan), Billy Randolph (Wayne Morris) and Bing Edwards (Eddie Albert) have graduated from the Virginia Military Institute. In commemoration of this accomplishment, Bing and his loving wife, Kate (Jane Bryan), name their first-born child Commencement. But, despite the enthusiasm of the graduates, they soon discover that life after school is trickier than they expected -- especially with a trouble-making baby that goes missing.