When the shutter is opened, light shines through to imprint an image on photographic paper or film placed at the back of the camera. Pinhole cameras rely on the fact that light travels in straight lines – a principle called the rectilinear theory of light. This makes the image appear upside down in the camera
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In the image formed by a pinhole camera the light which from object get catched by this camera.The image get inverted.Because there is only one hole to pass light on.

A little bit of more:
To see the image formed by the camera clearly we can cover it with a black paper.