If I had $500 I'd put $500 on the horse to win. Why key it in 2nd and 3rd? If you think the horse is a lock to win then that's just a waste of $. I understand the idea of giving yourself a little insurance if then horse runs well but doesn't win or if he has a bad trip but still gets a piece because he's the best horse - but you can't try to over-hedge things in this case - you go for the big/sure score. And why risk being wrong about other legs of a PK4 that you almost definitely have a less strong opinion on?
Your way: $2327.50 + 2596 + $300 + $290 = $5513.50
and that assumes that you hit every bet - which in this case is far from definite and not worth the risk when you consider that if you just played the horse to win for $500 you'd get back $5250.
Is the extra $263.50 really worth the increased risk? No way. Not to mention that you also have to worry about tax stuff your way. . .
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