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Sie is a very common word in German, and can have several meanings.
It can be used as the formal word for you. In this case Sie always begins with a capital letter and the verb will end with -en.
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| Wo wohnen Sie? |
Where do you live? |
| Brauchen Sie Benzin? |
Do you need petrol? |
It can also mean she, or it when it refers to a feminine noun. In this case sie begins with a small letter, except at the beginning of a sentence, and the verb will end with -t.
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| Wo wohnt sie? |
Where does she live? |
| Braucht sie Benzin? |
Does she need some petrol? |
| Haben Sie eine Luftsäule? |
Have you got an air pump? |
| Ja, sie ist gleich links von der Einfahrt. |
Yes, it's just left of the entrance. |
Finally, sie can be used to mean they. Again, it begins with a small letter, but the verb will end with -en.
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| Wo wohnen sie? |
Where are they living? |
| Brauchen sie Benzin? |
Do they need petrol? |