Are orbitals always filled in from closest to nucleus to farthest away?
As you have studied for the quiz, you should know the expected answer.

In full-scope reality, the question has nothing to do with the two explanations you offered, but with the shape of atomic orbitals:



Radial distribution of selected orbitals in $\ce{Sm^{3+}}$, http://pubs.rsc.org/en/content/articlehtml/2004/dt/b407173e