I like how this is alternate universe interlude #1. I was so ambitious. Sixty-ish strips later and I still have not done a #2. (Although I have done some weird strips in the actual chronology.)
I won’t explain this one too much since I think overexplanation ruins jokes, but my reasoning on panel #5, FYI, is that that first scene in Othello is the only other balcony scene I know of in Shakespeare.
There are at least two reasons why it was probably a good call for Lance not to go with #2.
In the alternate universe where Lance went with act III of Lear, Peggy somehow has the sense of humor of a twelve-year-old boy. You crunch a butterfly in the Cretaceous, you know?