After a thump-bumping ride on a slide, a little girl and her dragon friend find themselves inside a fairytale book. But danger lurks in the form of strangers; including the hungry wolf from Little Red Riding Hood and Snow White's evil stepmother. And it's up to the girl to keep an eye on the dragon, who walks alone through deep dark woods and takes treats from people he doesn't know. Little by little, the girl teaches her irrepressible friend to be careful about strangers.
When D.W.'s teacher announces that they will have a fire drill, D.W. is afraid the school is going to burn down! So Arthur gives her his fire fighter's hat, a whistle, and a few tips on fire safety, and appoints her their home fire warden. She then sets off to school prepared to take charge.
While out for a walk with her mom, a little girl has the surprise of her life; she meets a real, live, fire-breathing dragon! Now this dragon is nothing to be afraid of;in fact, he's so friendly that she invites him home for tea. But their afternoon snack is suddenly interrupted when the dragon sneezes and sets the table ablaze. Luckily, the girl knows just what to do, and she teaches her new friend to be fire smart, too.