The Frank Family is getting back to their roots and freely expressing their dedication to their faith in their secluded annex on the first night of the Hanukkah celebration.
Mr.Frank lights the Shamos and holds it as he reads from the prayer book. The "family" is respectfully listening to the blessing. Mrs. Frank continues he rest of tonight's reading.
The "family" comes to terms with the conditions of being in hiding and realize their usual festivities will be foiled. Their lack of money must be salvaged for food, yet as a pleasant surprise and an attempt to better her morals, Anne creates presents from scraps around the house and gifts them to all the residents of the annex.
Peter got a razor, Mrs. Frank got a handmade coupon with Anne promising to do any of her requests for an extended period of time, Margot's gift was a crossword puzzle book, Mrs. Van Daan's was shampoo, Mr. Dussel received earplugs, Mr. Frank received a scarf (seen in scene one), Mr. Van Daan got two cigarettes, and Mouschi got a toy.
Their moments of gratitude and excitement are brief when they hear a racket downstairs, implicating that someone is there after hours. The residents of the annex must stay quiet in an attempt to avoid exposing their location.
Peter unfortunately makes a noise and the various precautions that the "family" has taken to stay hidden have gone to waste. This causes a lot of tension throughout the rest of act one. They are now at a greater risk of being found.