Puzzle 55 - IOU

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Harry owes Sam $30. Sam owes Phil $20. Phil owes Harry $50. Which of the following will settle the debts?


  1. Harry could give Phil $50.
  2. Sam could give Phil $20 and Harry could give Sam $40.
  3. Harry could give Phil $20 and Sam could give Phil $10.
  4. Sam and Phil could give Harry $50 total.
  5. Phil could give Harry $20 and could give Sam $10.

Solution: 5

 Harry owes Sam 30 and Sam owes Phil 20. We can say that Harry owes Phil 20. But Phil owes Harry 50. We can subtract 20 which Harry owes Phil. Which means Phil really owes Harry 30. But Harry owes 10 to Sam now (after subtracting 20 of Phil). So Phil can give this 10 to Sam on Harry's behalf and he can give the remaining 20 to Harry.

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