After learning Carol only attended one class and is unprepared for her midterm, Katie sets aside Biscuit Blitz's financial documents to help Carol, who admits she fears failure. Katie is scooped by a rival network, but the hack is blamed on a fall guy. When Greg finally stands up to his overbearing and distant grandmother, network owner Mildred Marlock, she endorses him as future head of the news division. Carol fails the midterm; not wanting to show weakness, Greg fires her. Katie stands up for Carol, and Mildred fires Katie and retains Carol. Mildred orders the destruction of the financial documents.