Where does the Driver's Handbook tell you to place your hands on the steering wheel, and what should you be able to do without letting go?

Correct answer: D. Nine o'clock and three o'clock, steering most lane changes without taking either hand off

Picture the wheel as a clock face and put your hands at nine o'clock and three o'clock — level with each other, one on each side. From there the Handbook expects that "you should do most steering and lane changes without taking either hand off the wheel," and that "you must be able to steer in a straight line while shifting gears, adjusting controls or checking your blind spot." That last point is the practical one: a shoulder check is worthless if the car drifts while you do it. Nine and three gives you the leverage to hold a straight line with one hand for the moment your other hand is busy.

Source: MTO Driver's Handbook: Driving along — Steer smoothly, hand position on the wheel