Consider the following explanation for why 1=2:
1. Start out Let y = x
2. Multiply through by x xy = x2
3. Subtract y2 from each side xy - y2 = x2 - y2
4. Factor each side y(x-y) = (x+y)(x-y)
5. Divide both sides by (x-y) y = x+y
6. Divide both sides by y y/y = x/y + y/y
7. And so... 1 = x/y + 1
8. Since x=y, x/y = 1 1 = 1 + 1
8. And so... 1 = 2
How is this possible?

Step 5 is invalid, because we are dividing by (x-y), and since x=y, we are thus dividing by 0. This is an invalid mathematical operation (division by 0), and so by not followinng basic mathematical rules, we are able to get strange results like these.

You have been given the task of transporting 3,000 apples 1,000 miles from Appleland to Bananaville. Your truck can carry 1,000 apples at a time. Every time you travel a mile towards Bananaville you must pay a tax of 1 apple but you pay nothing when going in the other direction (towards Appleland). What is highest number of apples you can get to Bananaville?

833 apples.
Step one: First you want to make 3 trips of 1,000 apples 333 miles. You will be left with 2,001 apples and 667 miles to go.
Step two: Next you want to take 2 trips of 1,000 apples 500 miles. You will be left with 1,000 apples and 167 miles to go (you have to leave an apple behind).
Step three: Finally, you travel the last 167 miles with one load of 1,000 apples and are left with 833 apples in Bananaville.

You are standing in a pitch-dark room. A friend walks up and hands you a normal deck of 52 cards. He tells you that 13 of the 52 cards are face-up, the rest are face-down. These face-up cards are distributed randomly throughout the deck.
Your task is to split up the deck into two piles, using all the cards, such that each pile has the same number of face-up cards. The room is pitch-dark, so you can't see the deck as you do this.
How can you accomplish this seemingly impossible task?

Take the first 13 cards off the top of the deck and flip them over. This is the first pile. The second pile is just the remaining 39 cards as they started.
This works because if there are N face-up cards in within the first 13 cards, then there will be (13 - N) face up cards in the remaining 39 cards. When you flip those first 13 cards, N of which are face-up, there will now be N cards face-down, and therefore (13 - N) cards face-up, which, as stated, is the same number of face-up cards in the second pile.

Create a number using only the digits 4,4,3,3,2,2,1 and 1.
So I can only be eight digits.
You have to make sure the ones are separated by one digit, the twos are separated by two digits the threes are separated with three digits and the fours are separated by four digits.

At a dinner party, many of the guests exchange greetings by shaking hands with each other while they wait for the host to finish cooking.
After all this handshaking, the host, who didn't take part in or see any of the handshaking, gets everybody's attention and says: "I know for a fact that at least two people at this party shook the same number of other people's hands."
How could the host know this? Note that nobody shakes his or her own hand.

Assume there are N people at the party.
Note that the least number of people that someone could shake hands with is 0, and the most someone could shake hands with is N-1 (which would mean that they shook hands with every other person).
Now, if everyone at the party really were to have shaken hands with a different number of people, then that means somone must have shaken hands with 0 people, someone must have shaken hands with 1 person, and so on, all the way up to someone who must have shaken hands with N-1 people. This is the only possible scenario, since there are N people at the party and N different numbers of possible people to shake hands with (all the numbers between 0 and N-1 inclusive).
But this situation isn't possible, because there can't be both a person who shook hands with 0 people (call him Person 0) and a person who shook hands with N-1 people (call him Person N-1). This is because Person 0 shook hands with nobody (and thus didn't shake hands with Person N-1), but Person N-1 shook hands with everybody (and thus did shake hands with Person 0). This is clearly a contradiction, and thus two of the people at the party must have shaken hands with the same number of people.
Pretend there were only 2 guests at the party. Then try 3, and 4, and so on. This should help you think about the problem.
Search: Pigeonhole principle