My question about the above is does capacitors in parallel make sense or should I just put a single larger capacitor in?
In general yes having separate capacitors make sense. The 0.1uF ceramic capacitor handles high frequencies, the larger capacitors have more inductance so they can’t do this.
In general having more than one large capacitor helps distribute the decoupling effect, but in this case there is not much else going on in the circuit so I would just have one here. It should be placed close to the regulator.
Thanks that diagram is a lot better to follow, we don’t have to turn our brain in knots.
In the 1960s it was common to have the negative at the top with the zero volts at the bottom. This was because the only transistors there were in those days were PNP ones.