CR is Carriage Return, which on a typewriter you could do by moving the carriage back to the start of the line. Often there was a lever for this.
LF is Line Feed, accomplished by turning the platen. The horizontal position on the page stayed the same, just one line down vertically.
Having these separate made it possible to easily fill in tabular data and printed forms of various sorts. It also made it possible to type some (rather messy) accented characters by using CR and hitting space until you reached the character to accent, then typing an appropriate punctuation mark. A number of modern Compose Key sequences follow the same patterns, eg o" for ö.
Later typewriters added ways to do this automatically; eg the IBM Selectric had a "RETURN" key. This both returned the carriage to the start of the line and fed down one line. It was still possible to perform either action separately to fill in tables and other forms.