Originally Posted by Jurassic Referee

Yes and yes.

Rule 5-8-3(b) says that you grant a TO when the ball is dead. It doesn't matter how the ball became dead. The only time that you can't grant a TO after the ball has become live to start the game is when the ball is dead is during the replacment of a disqualified/injured/ordered out of the game player. And you can still grant a TO after the sub comes in on that dead ball too.

After you grant the TO, rule 3-3-1(a) gives you the parameters for allowing substitution during that TO.....allowed prior to the warning signal.