It will execute the whole file as PHP. The first time you open it,
$_POST['submit']
won't be set because the form has not been sent.
<?php
if (isset($_POST['submit'])) {
$example = $_POST['example'];
$example2 = $_POST['example2'];
echo $example . " " . $example2;
}
?>
<form action="" method="post">
Example value: <input name="example" type="text" />
Example value 2: <input name="example2" type="text" />
<input name="submit" type="submit" />
</form>