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The Sum Law states that the limit of a sum of two functions equals the sum of their individual limits, provided each limit exists. Similarly, the Difference Law applies the same principle to differences. These laws allow you to break complex limit problems into simpler components by evaluating each function's limit separately and then combining the results.

The Product Law states that the limit of a product of two functions equals the product of their individual limits, provided both limits exist. This law is useful for separating combined functions into independent parts. In the car rental cost example, the Product Law first separates the total cost into the sum of daily and mileage costs multiplied by a discount factor.

Limit laws can be used to evaluate expressions involving combinations of functions only when the individual limits exist at the point of interest. If any component limit fails to exist, the law cannot be applied. This requirement ensures that each step of the limit evaluation is mathematically valid and produces a meaningful result.

For a car rental cost function with a daily base cost, mileage cost, and discount factor, the Product Law first separates the total cost into two functions. Then the Sum Law splits the combined cost into individual components. Finally, evaluating limits by direct substitution calculates each component's limit as rental days approach a specific value.

When evaluating limits of complex functions, apply the Product Law first to separate the expression into simpler parts, then use the Sum Law to break combined functions into individual components. This hierarchical approach ensures each limit exists before proceeding to the next step. Finally, substitute the specific value to calculate each individual limit.

Individual limits must exist before applying limit laws because these laws are only valid when all component limits are defined. If any limit does not exist, the law breaks down and cannot be reliably used. This requirement protects against mathematical errors and ensures that combining limits produces accurate results.

Limit laws provide the foundation for understanding how functions behave as inputs approach specific values, which is essential to the continuity of a function. When individual limits exist and can be combined using these laws, the resulting function behavior becomes predictable. This predictability is central to analyzing properties of continuous functions.