The Bananas are reading a story, but stop halfway through. They plan to finish it next morning before reading it to the Teddies. Unfortunately, the book disappears overnight.
Lulu buys two gnomes from Rat-in-a-Hat's shop and asks the Bananas to deliver them. On the way, the gnomes get broken and the Bananas cannot repair them.
The Teddies get stuck inside and call the Rescue Bananas for assistance, but soon everyone is stuck inside the Teddies' house. Only Rat-in-the-Hat can rescue them now.
Everyone tries to guess the number of jelly-beans in a jar when Rat-in-the-Hat holds a competition. However, Rat-in-the-Hat wants the jelly-beans himself and decides to cheat.
Rat-in-a-Hat makes a railway station on Cuddles Avenue. The Bananas decide to make him some carriages so that he can carry passengers and they take the wheels from Lulu and Amy's scooters without asking.