Every element of a finite group to the power of the order of the Group is 1 - is this true - what is the proof for this?

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Going through Christof Paar's book on cryptography. In his chapter on DHKE, he has the following

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The book doesn't seem to have the proof for $a^{|G|} = 1 $ Also how is it a generalization of Fermat's Little Theorem for Cyclic Groups?

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You've worded the question in a way that suggests the book does have the proof of part 2. But, just in case, the proof is that any $a\in G$ generates a (cyclic) subgroup of $G$ of size $ord(a)$ and, moreover, Lagrange's Theorem implies that the size of any subgroup divides the size of the whole group. The proof Lagrange's Theorem is that if $H$ is a subgroup of $G$, then $G$ is partitioned into the left cosets of $H$, each of which has the same size as $H$, and so $|H|$ divides $|G|$.

Now part 1 follows immediately. If $m=ord(a)$ then $|G|=mn$ for some $n$ by 2. So $a^{|G|}=a^{mn}=(a^m)^n=1^n=1$.

Fermat's little theorem says that for any prime $p$ and any integer $a$ not divisible by $p$ we have $a^{p-1}\equiv 1$ (mod $p$). Since it is enough to consider the remainder of $a$ mod $p$, we may view $a$ as an element of the group $G=\{1,\ldots,p-1\}$ under multiplication mod $p$. Now Fermat says that $a^{p-1}=1$ for any $a\in G$. This is a special case of part 1 of your theorem.

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Each translation $gH:=\{gh:h\in H\}$ of a $G$ subgroup $H$ is called a $\it{left}\;H\;coset$. The left $H$ cosets all have the same size $|H|$ and $$g'\in gH\implies\exists\;h\in H\;\;g'H=ghH=g(hH)=gH$$ Therefore $gH$ is the unique left coset containing $g$ and thus the family $(G:H):=\{gH:g\in G\}$ is a partition of $G$ into parts of equal size. $$\therefore\;|H|\;\Big\vert\;|G|=\sum_{X\in(G:H)}|X|\;\;\;\therefore\;\text{ord}(a)=|\langle a\rangle|\;\Big\vert\;|G|\;\;\;\therefore\;a^{|G|}\in\langle a^{\text{ord}(a)}\rangle=\langle\mathbf 1\rangle\;\;\;\therefore\;a^{|G|}=\mathbf 1$$