Just wanted some additional insight to this glitch an instructor came across (I am an instructional designer supporting teachers with such questions).
They noticed when they put an image into their Rich Content Editor it made the multiple choice answer(s) disappear (see screenshot example below - image covered choice "A"). When I looked at this instructor's quizzes, I saw that the image was overlapping with the answer section. Images generally do become overlapped with text when in the RCE, so I wonder if this is the reason for it?
I think the best work around was to either put text under the image OR add line spacing below the image so the glitch does not occur. However, does anyone else have another idea? These images are "files" so it is not a problem of pasting images into the RCE.
I will send this along to Canvas Support if the issue still occurs.