This document discusses key principles of hydraulic and pneumatic systems including: - Pascal's law which states that pressure in a fluid is transmitted equally in all directions - Energy transfer from a prime mover like a pump to an actuator - The role of fluid flow in operating actuators by extending or retracting cylinders - How actuator speed is determined by flow rate and cylinder volume displacement - How pressure results from restricting fluid flow from a pump - The use of schematics using standardized symbols to represent hydraulic and pneumatic components.