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As with any panel, tool, or dialog box in Photoshop, knowing the menu options available while working with layers is what gives you the power and versatility to make the Photoshop creations you've envisioned. I've listed the menus here as a reference; they'll be much easier for you to understand after you've read this chapter and worked at least a little bit with layers, but be sure to come back to them, because I guarantee you'll find options you forgot about.
When it comes to layers, two menus do all the work: the Layer menu, found in the menu bar above the document window, and a compact version in the Layers panel menu, found in the top-right corner of the Layers panel. These menus have some identical options, but some options are found in one menu and not the other. I start with the Layer menu, because it has the most options, and then move on to the options that are found only on the Layers panel menu.