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It can function both as a pronoun and as a subject replacement.
It is can function both as a pronoun (as in example 1 below) and as a subject replacement (as in example 2 below).
1. The chair has only three legs. I wouldn't sit on it.
2. It is raining.
False. It can only function as a pronoun.
False. It can only function as a subject replacement.
I don't know