Let $x=5$, $y=7$, $z=6$
$x+y = 2z$
Rearranging, $x-2z = -y$
and $x = -y+2z$
Multiply both sides respectively. $x^2-2xz = y^2-2yz$
$$x^2-2xz+z^2 = y^2-2yz+z^2$$ $$(x-z)^2 = (y-z)^2$$ $$x-z = y-z$$ Hence $x=y$, or $5 = 7$
Well, the conclusion is clearly false, but what went wrong? I think it may be the step in which one square roots both sides because it's taking out one solution?
Hint $\ $ When debugging proofs on abstract objects, the error may become simpler to spot after specializing to more concrete objects. The symbols $\rm\:x,y,z\:$ denote abstract numbers, so let's specialize them to their concrete number values: $\rm\:x = 5,\: y=7,\: z = 6,\:$ yielding this "proof" $$\begin{eqnarray} 5 + 7 &=&\: 2\cdot 6 \\ 5- 2\cdot 6 &=&\: -7 \\ \cdots\ &=&\ \cdots \\ (5-6)^2\! &=&\: (7-6)^2 \\ \color{#c00}{5-6}\ \ \:&=&\:\ \ \color{#c00}{7-6}\: \end{eqnarray}$$ Now we can spot which inference is incorrect by determining the first $\rm\color{#c00}{false\ equation}$ above. If equation number $\rm\: n\!+\!1\:$ is false then the inference from equation $\rm\:n\:$ to $\rm\:n\!+\!1\:$ is incorrect. Doing so we find that last equation being false, which reveals the culprit inference $\,(-1)^2 = 1^2\color{#c00}{\Rightarrow\, -1 = 1}$
Analogous methods prove helpful generally: when studying abstract objects and something is not clear, look at concrete specializations to gain further insight on the general case.