Hi Mutt,
Thanks for the correction, it seems that I'm correct for the 'small picture' of the Takeoff in isolation, but didn't address the 'big picture' of the entire flight profile. I must admit that the OP's reference to 500 ft thrust vreduction altitude had me thinking that after 500 ft both scenarios are the same. No argument from me that a 'Thrust Reduced Climb' will cost more fuel.
Best Regards,
Old Smokey