It's a modulo operation http://en.wikipedia.org/wiki/Modulo_operation
http://docs.python.org/reference/expressions.html
So with order of operations, that works out to
(3+2+1-5) + (4%2) - (1/4) + 6
(1) + (0) - (0) + 6
7
The 1/4=0 because we're doing integer math here.