Inputs A and B are bits: each is 0 or 1. Sum = A XOR B is 1 when the inputs differ. Carry = A AND B is 1 only when both are 1. Read Carry first as the twos place and Sum second as the ones place. Check A + B = 2 x Carry + Sum. Inclusive OR cannot replace XOR: OR stays 1 for input 11, but Sum must be 0. This ideal model describes logical values, not physical wiring.
Worked example
For A = 0 and B = 0, XOR gives Sum 0 and AND gives Carry 0. Binary 00 represents zero. For A = 1 and B = 0, Carry/Sum is 01: 2 x 0 + 1 = 1. Reversing those inputs keeps the same total.