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When deciding what to do about Candace's depression, Isabella read from her Tween Bleep magazine that one thing they could do to make her feel better was to make her laugh. So, Phineas and Ferb created the Ha-Ha-Hut to cheer Candace up.
How it Began
Candace's date with Jeremy was cancelled, and Phineas and Ferb decided to help cheer her up. Isabella suggested a Tween Bleep article on "How to lift your friend out of a serious funk". After unsuccessfully trying number 1, Phineas and Ferb went onto number 2, make her laugh.
Phineas and Ferb built the Ha-Ha-Hut in a room in their house, presumably the garage. They painted the walls, remodeled the floors, added a stage, and set out tables and chairs to give the feel of a true comedy club. They reserved a seat close to the stage for Candace and Stacy, since the Ha-Ha-Hut was built specifically for them. When Stacy and Candace arrived, the Ha-Ha-Hut was already full of people, except for Candace and Stacy's table.
The club ended up pleasing everyone but Candace, so the club was shut down.
The opening act of the show was a ventriloquist act by Baljeet and his puppet. The segment was math-themed. Baljeet started off by telling the audience his puppet went to New Delhi, and asked if he tried the chicken club. His dummy didn't like this joke, and told him to just cut straight to the water drinking bit. Baljeet started drinking the water while the dummy rattled on about a complicated maths sum, but Baljeet choked on the water and the dummy's head fell off. Phineas ended off by saying "Let's give it up for the dummy! And that puppet wasn't bad, either!"
Buford went under the stage name Broccoli Top (a parody of Carrot Top) by putting on a green afro that looked like the floret of a broccoli. Buford did a prop comedy act; he pulled random stuff out of a box and tried to make up a comedic description for them, including a book and a seashell. Buford finally pulls Baljeet out of the box and describes him as a 'nerd to go with the book' and Baljeet exclaimed "I am in both acts!" Buford threw Baljeet off the stage and yelled "Thank you! Buford's still in the building!" The audience did not like this act very well, and booed Buford after he was finished.
Ferb was the last known act. He performed a stand-up comedy act. He made a reference to Seinfeld by saying "So, how 'bout that airline food?" The audience broke out into mad laughing; one guy was laughing so hard, he even flipped over a table. Stacy was laughing at the joke, even though she said she didn't know what airline food is. Everyone was laughing except for Candace, who said it was making her feel worse.
Phineas realized the Ha-Ha-Hut was not working, and was presumably shut down after that.