Potato Latkes With Caramelized Onion And Applesauce

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1 tablespoon unsalted butter

Vegetable oil

1 large onion (3/4 pound), thinly sliced, plus 1 small onion

Salt and freshly ground pepper

1 tablespoon cider vinegar

1/2 tablespoon light brown sugar

4 large Granny Smith apples (2 pounds)—peeled, cored and cut into 1/4-inch chunks

1/4 cup water

1 thin lemon slice

2 tablespoons sugar

Pinch of cinnamon

Pinch of freshly grated nutmeg

1 large baking potato (1 pound), peeled

1/4 cup all-purpose flour

1 tablespoon matzo meal

1 large egg, lightly beaten

1/2 cup sour cream

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