1. He walked away with a golden apple in his hand.

2. He walked away, and a golden apple was in his hand.
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Does #1 mean #2? In #1, is 'in his hand' an adverbial phrase? Or is it an adjective phrase?

It's an adverbial phrase. In #1, it modifies the apple, in #2 it tells where the apple was, modifying was. Both 1 and 2 mean the same.

I mis-wrote. #1, "in his hand" modifies the phrase "with a golden apple", which modifies the verb "walked". "with a golden apple" is an adverbial phrase, "He walked away (adverb) with a golden apple (adverb, both modifying 'walked') in his hand (adverb modifying 'with a golden apple'). So, it's an adverb phrase, not adjective.

In #2, as I said, it modifies "was", a phrase called an adverb of place (where the apple was) in both sentences.

In sentence #1, "He walked away with a golden apple in his hand," the phrase "in his hand" functions as an adjective phrase modifying the noun "golden apple." It describes the location or position of the apple, indicating that it was being held by the subject.

In sentence #2, "He walked away, and a golden apple was in his hand," the phrase "in his hand" is also an adjective phrase, but it is separated from the main clause by a comma and conjunction "and." This phrasing suggests a slight difference in emphasis. Sentence #1 is more focused on the subject actively "walking away with a golden apple," while sentence #2 is more focused on the presence of the apple in his hand without necessarily emphasizing how it got there.

To understand these concepts, it is helpful to have a basic understanding of adjectives and adverbs. Adjectives modify or describe nouns, while adverbs modify or describe verbs, adjectives, or other adverbs. In this case, "in his hand" describes the golden apple (a noun), and it indicates where the apple is located, making it an adjective phrase.