@awnlee jawking
Nowadays I mix dialogue and narrative in the same paragraph but only if they have the same actor. Is that a technique you'd find confusing?
Mixing dialogue and narrative action together in the one paragraph is common, but they do have to be closely related to each other. Also, all of the dialogue has to be by the same person. Here's a couple of examples:
At 12:15 p.m. Will is at the school's main office handing his sheet to the admin supervisor. Five minutes later he's officially an ex-student and the supervisors asks, "Well, now you're no longer a student here do you mind if I ask you a personal question?" Will half-frowns as he shrugs. Mrs Monash laughs at his physical reply and says, "I know your name is William, but I've rarely heard you called Bill or Will while I have heard other students call you Rabbit. How did you get Rabbit as a nickname?"
He laughs as he says, "My mother insisted I be named after her father, William, who he had no middle name. So I'm just William Bill, which is a very old English family name. I was often called Bill for short, so I was Bill Bill. When I started school there were three of us called Bill in the class, so we all got our family initial added to be Bill B, Bill C, and Bill H. Somewhere during first term we studied Australian Marsupials and one kid made the verbal link between Bill B and Bilby, the rabbit-bandicoot. The teachers wouldn't let them call me Bandicoot, so I became Rabbit."
"Weird as it sounds, that makes sense. It does mean your nickname is a more unusual one than most people's. It's not a traditional one for your name, and it's not based on your hair colour or size, like so many are."
Will laughs hard while thinking of a neighbour he's known all of his life. Thomas Foote has always been large for his age, like Tom's father is, Tom is usually head and shoulders above his peers. Like many large people his nickname is 'Tiny,' but it doesn't seem right to be Tiny Foote. That gets him thinking about the shortest person he knows, and he says, "I do think being Rabbit Bill is a lot better than Tiny Foote or Giant Ball."
"Peter Ball is better off with a nickname of Giant than being known as Shorty Ball, or Cricket Ball, which is what one person of that family name got stuck with at my primary school." Both laugh at how absurd some of the school nicknames end up as. "What are you going to do now?"
In the first paragraph the dialogue is by the admin person, so is the initial action, then there's action by Will in response to her question, then more dialogue by her. See how it all closely relates to each other. The same is true of the later paragraphs in that the narrative is closely linked to the dialogue and the dialogue to the narrative. Here's another example:
Will is double checking everything is loaded and secure when his father arrives home from work. So the two of them do the task together. Jack Bill, Will's father, reaches over to shake the bike. He grins when the whole van rocks, and he says, "When you started rebuilding this old van I thought you were crazy, but you've done a good job. The bracing to hold your motorbike is solid, and you've managed to cram all you need for a small camper into it." Once again he looks at how it's laid out. The left third of the two and a half metre long storage area is taken up by the electric motorcycle at the back with the small fridge and stove in front of it leaving just enough room to access them from the sliding door or by sitting on the box behind the driver's seat. The rest of the back has a set of three-quarters of a metre high storage boxes with one large lid as the base for the thick foam single bed mattress. Some more storage compartments are set along the roof area over the bike. Jack turns to Will as he asks, "Did that new chemical toilet fit?" A smiling Will simply opens the door to its storage area right at the back of the van so he can show it to his father. "Got your licences on you?" Will pulls out his wallet to show the licences to carry his hunting knife and bow. A nod from Jack while saying, "Then you're all set to leave in the morning!"