A fancy way of saying what you are now going to learn is called binary or Boolean, operation on shapes. When something is binary it can be either on or off. What this section will teach you is that you can create new shapes by either adding new parts to a shape, or removing existing parts from a shape.
This method works by using a set of basic shapes (circles, oblongs, triangles, and so on) and the combining of these into new shapes. We are not talking about simply grouping shapes here—but creating new shapes from the bottom up.
In the Edit | Shapes menu there are four commands which will aid you in creating a new shape.
As the name implies, the Subtract Shapes menu command will create a new shape that is based on two or more shapes subtracted from each other.
Start by creating two shapes: One square and one circle. The circle should be put on top of the rectangle.
Select both shapes and issue the Edit | Shapes | Subtract...