This example shows how PHP assigns values to variables using = and updates them using compound assignment operators like +=. First, $a is set to 5. Then, $a += 3 adds 3 to $a, making it 8. Finally, echo prints 8. The execution table traces each step, showing variable values and output. Compound assignment combines operation and assignment in one step, making code simpler. Beginners often confuse = and +=, but = assigns directly, while += adds to the current value. The quiz questions help check understanding of variable changes and operator effects.