The chain rule is used to differentiate composite functions. You differentiate the outer function, keep the inner function intact, then multiply by the derivative of the inner function.
Find the derivative of (x² + 1)³.
Outer: u³ → 3u². Inner: x² + 1 → 2x. Result: 3(x² + 1)² × 2x = 6x(x² + 1)²

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