I absolutely LOVE that song, I listen to it over and over in the car. there is a lot of jamming on the song, is that all rehearsed? when prince calls out stuff like"just the drums" or "2 times' is that like improvising or have they rehearsed the song that way and he's just sort of guiding the band? I have never seen him in concert and dont know much about "jamming" lol

That is a great live track with some over-dubbed vocals and possibly horns done later in the studio.

Yes, Prince commands the band live like no other. To jam, U goota know your instrument, then when together, U can take cues from your "jam-mates" and speak your little part thru your instrument.

Pieces of this song - like the 'turnaround', appear in rehearsal jam recordings from that time period, so I think that they just learned certain terms like "turnaround!" and "ice cream!" and then pieced those together with straight out four on the floor-simple bass lick jamming. That's essentially what "Beautiful Night" was. Most of the vocals (not all) were overdubbed later.