I don't get how my stake and my prize relate?

Question

I have just bet £5 each way (therefore £10) on a 100/1 horse (hey, who knows?).

The betting slip says 'potential total winnings £635 (inc stake)'. I thought each way meant you got a quarter odds but won if you placed first to fourth. Surely therefore I would win £260 (25/1 plus my £10 back).

Where have I gone wrong (I'm not complaining btw!)

Answer 1

You would get £5 at 100/1 which is a total of £505.00 (inc stake) and then £5 at 25/1 (1/4 of the odds) which is £130 (inc stake) which is £635.00. The amount they estimated is if your horse wins, but as you've done the bet each way you get the win and place amount.

(I used to be a betting shop manager.) Good luck!!

Answer 2

you get 100 * £5 + your initial £5 which gives you £505.00 because your horse won. you also get 1/4 of the £500.00 which is £125.00 + £5 for the place.

Answer 3

£5 win@100/1=500+5 stake back=505

£5 place@1/4 odds =125+5 stake back=130

505+130=£635