Two speakers in same paragraph?

[bluejester12]

Is it possible? They're not speaking in "real time."

Yup. Definitely misplaced. That’s how Jamal answered whenever Mom asked about Ted's whereabouts. “Where’s Teddy?” “He’s misplaced.” Even if Ted was right there with him.

[veinglory]

I would say, generally not. New speaker should be on a new line.

[Ziljon]

I'm no expert, but what blue wrote seems okay to me. It's not dialogue, it's a recounting of some oft used phrases. I think it's okay.

[Duncan J Macdonald]

I'm no expert, but what blue wrote seems okay to me. It's not dialogue, it's a recounting of some oft used phrases. I think it's okay.
I agree. It's a quote, not dialogue.

[KTC]

Yes...I agree to. If it were original dialogue, I would say no way...but in this context, I think it works.

[Dawnstorm]

Works for me. (A paragraph would be odd.)

[Jamesaritchie]

Quotation or not, it reads poorly. It's confusing, and there's no logical reason not to start a new paragraph.