I think conformationally most calves would naturally stand wider behind than in front so yes I set them closer (mature bulls might be the exception, but I've never showed them). If your son had them too wide for the calf's build, then yes I can see how that would be a point against him, as it would look awkward and maybe make their legs appear crooked.
About the walking them in, with my last steer, who was great at showmanship, I got it so he would pull his front feet square and then I would usually have to move one back one with the stick. I found the key to not leaving their front feet all over the place is to slowly ease them into the stop, rather than doing it suddenly.
Also, that's a great story Chambero.