Visible crew/equipment: Just after Cordelia says "let's go to the Bronze", check the top of the screen - a microphone drops into shot for Harmony's line "is that a joke?" (00:16:20)
Visible crew/equipment: There's a boom mic visible when Cordelia is talking to Harmony and the other Cordettes. It's the first scene in the alternate universe and they're standing inside a classroom of Sunnydale High (Cordy says something about going to the Bronze).
Chosen answer: Angel is saying that he is still jealous and Buffy recognizes that this is his way of saying he wishes that they could be together. That is why they both smile.