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thanks! when you say "plug" you mean the yellow wire connectors?
I am sure it is referring to the receptacle (plug, outlet); this term is interchanged so much. Image two is what this poster means.

The difference between image one and two is that with image two if the receptacle fails for any reason there will not be a flow of electricity to the next receptacle or anything down line of it. If wired as in image one then if the receptacle fails since the wires are nutted together there will still be a flow of electricity to the devices down line of the failed receptacle. Wiring in image one takes a bit longer but as you see now if the receptacle fails you don't loss the electricity down line.
 

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Thanks!! As far as using the yellow cup to tie them together, heard if you tie it loosely, it is a fire threat. Or use the wrong cup. any insight on this?

I am NOT an electrician. However I do know that there are different size "wire nuts' (marrettes) to be used with specific wire gauges. In addition to using proper size nuts i have seen cases where a wrap of electrical tape is used on top of the nut. IMO no such thing as too careful in both plumbing and electrical work. Same for working with explosives!!

https://en.wikipedia.org/wiki/Twist-on_wire_connector

Now if you really want to get deep into the art of splicing check this out:

http://www.hq.nasa.gov/office/codeq/doctree/87394.pdf
 

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Thanks!! As far as using the yellow cup to tie them together, heard if you tie it loosely, it is a fire threat. Or use the wrong cup. any insight on this?
Here is a chart for guidance so you can see the proper one to use. Also most packages/boxes of wire nuts usually have a chart on them indicating the colors to use for gauge/quanity of wires to be bound.
 
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