Well my state uses the NFHS rules, so I presume they want us doing the signals by the book. When I watch (3-man) games in my area, I see the C sometimes signal to the side, sometimes up high.

I guess I was initially confused by the wording "bonus free throw for 2nd throw, drop one arm"

Only once have I seen an official use the shots signal out to the side while reporting, everyone else does it up high.