A vertical compression implies a reduction in the y-values of the absolute value function. Therefore, the term that we use to accomplish the reduction cannot be attached to the x in the equation. If so, we would end up with a horizontal stretch, not a vertical compression.
Compression implies a reduction, or dividing, so our term will be 1/5. This should be placed outside of the absolute value bars so that the compression affects only the y-values.
Assuming x is the multiplication symbol, you would multiply 3 and the other 3 together. This leaves you with 9+7-7. Since 7-7=0 you can just get rid of both sevens completely. Now you are only left with 9.
