The correct method is to grout the toilet into place. The point is not to make a seal to the floor... that is what the wax ring is for. The purpose of the grout is to stabilize the toilet. The bolts do a good job at holding the toilet in place, but the grout gives the entire base a firm bed to rest on. This is also important in places such as Florida where we use PVC pipe. The bolts are attached to a plastic flange that doesn't offer much support. With caulk, the bowl can still rock, especially on uneven floors. Also, I have heard horror stories of someone sitting on a bowl caulked to an uneven floor, and the bowl cracked over the flange due to lack of side support, cutting the person pretty badly. Also, some people will set a toilet in grout or plaster, and the caulk around the edges, which also works. I'm a licensed plumbing contractor in FL.