For , membership in the dual cone is equivalent to
The Hilbert basis of a rational cone is . Therefore the coordinate ring of an affine toric variety is
The diagonal action of on fixes precisely the monomials whose total degree is divisible by three. Its invariant ring is generated by
The assignment
identifies this invariant ring with the ring in part i. Taking spectra gives the diagonal cyclic quotient singularity of order three
Insert the ray generated by between and . Since
the subdivided fan is smooth and gives a toric resolution of singularities. The unique exceptional divisor is . As
the self-intersection formula for a toric surface divisor gives .
Let be the primitive generator of the new ray , and let be its adjacent primitive rays in the smooth subdivided fan. Smoothness gives a unique integer with
Because is new, it lies in the interior of an original two-dimensional cone. Its adjacent refined rays lie on opposite sides of it inside that cone, which forces . Therefore .
Let and generate the distinguished cone. If a complete fan had exactly one further ray with primitive generator and were smooth away from , the other two cones would be smooth. Completeness puts on the other side of the two boundary rays, so after choosing cyclic orientation . Smoothness would require
hence . This has no integer solution for . Thus no proper toric variety can satisfy the three conditions from the PDF.

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