Viji,
Your answer is one asked by many many parents every year. The schools in Menlo Park from K-8 are great by any standards, and have enough good programs to satisfy most children. High School is different because the schools draw from a much larger georgraphic area and have many more needs to satisfy. I agree with Arn that the AP tract of MA is superb, so if you are only looking at academic classes MA is up there with the best of them. But, high school is more than just academics. Extra curricular activities are important to children's growth, as well as their college applications. MA is strong in a few areas, including sports, a nationally acclaimed jazz band, and is in the process of building a huge new performing arts theater. If you go to Gunn in Palo Alto the robotics team, theater department, and music department can't be topped. Palo Alto High has one of the best high school magazines in the country. Summerhill Homes who built Lane Woods, is also building Redwood Gate in Palo Alto which may be an option for you if you prefer Gunn High School.
I would suggest going to visit the schools before making any decisions and see how they feel to you.

Marcy

Viji:

Menlo Park is a fabulous place to live.
Menlo Park is located within the Sequoia High School District which serves southern San Mateo County.
There are 4 high schools within this district:
Menlo-Atherton
Woodside
Sequoia
Carlmont
I believe test scores are typically in the mid to high 70s - good but not outstanding.
None of these schools are rates as high as the Palo Alto schools.
It has been a while since I have reviewed the stats but I believe about 1/3 of the kids going in Menlo Park go to private high schools - Menlo School, Sacred Heart, St Francis, etc.
Menlo-Atherton has a strong AP program so if your children are in the AP/Honors track I would have no reservations about Menlo-Atherton.
I live in San Carlos and my oldest boy went to Carlmont - Carlmont was fine.
I know many people who live in Menlo Park and their kids have had good experience at Menlo-Atherton.
So the answer to your question is very personal.
Hope this helps.
There is also new construction in Palo Alto you may want to check out.