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Revealing mistake: In the dance sequence, we see Elaine twirling Ted around and throwing him into the crowd. Watch the top-right-corner of your screen, as the stunt-double lands in the audience you can see Robert Hays (Ted Striker) in the top-right-corner waiting to pop out. (00:19:10)
Answer: This is a reference to The Godfather, where a character being intimidated by the Mafia wakes up with his prize racehorse's severed head next to him on the bed. For comedy purposes this is twisted by the movie as an implied sexual relationship, when the horse is revealed to be alive.