Final answer:
The prepositional phrase 'in the village' functions as an adjective phrase, describing the location of the 'houses'. Prepositional phrases provide additional information about nouns or pronouns and can act as adverbs or adjectives depending on the context.
Step-by-step explanation:
The prepositional phrase in the sentence 'Many houses in the village have lights' is 'in the village'. This phrase is acting as an adjective phrase, as it is describing the noun 'houses' by specifying their location.
Prepositional phrases can serve different functions in sentences; they can act as adverbs or adjectives. In this case, since the phrase is providing additional information about 'houses' and not about the verb 'have' or how the action is being done, it is functioning in an adjectival capacity.
It's important to remember that to properly identify prepositions and prepositional phrases, you should look for words that usually indicate location, time, or direction and associate them with the nouns or pronouns they are modifying or relating to. Common prepositions include words like 'in', 'on', 'at', 'by', 'for', 'with', 'about', 'through', and 'over'.