Question

How does the liver work?

Answer 1

I wasn't sure if you meant "what it does" or the mechanisms it uses.

Explanation:

What it does:
https://www.healthline.com/human-body-maps/liver#seoBlock
It produces bile , a substance needed to digest fats. Bile’s salts break up fat into smaller pieces so it can be absorbed more easily in the small intestine.

In addition to producing bile, the liver:

Detoxifies the blood to rid it of harmful substances such as alcohol and drugs
Stores some vitamins and iron
Stores the sugar glucose
Converts stored sugar to functional sugar when the body’s sugar (glucose) levels fall below normal
Breaks down hemoglobin as well as insulin and other hormones
Converts ammonia to urea, which is vital in metabolism
Destroys old red blood cells (called RBC’s)

More Details on HOW it does those things:
http://www.innerbody.com/image_digeov/card10-new2.html