A subset is a collection of items drawn from the original larger set. A subset can have the same number of items as the original set or the count can be smaller.
Subsets that have 3 items: {3, 4, 7} which is the original set. Any set is a subset of itself.
So all together we have 8 subsets {3, 4, 7} {3, 4}, {3, 7}, {4, 7} {3}, {4}, {7} { }
Side Note: There are n = 3 items in the original set so there are 2^n = 2^3 = 8 subsets possible. The collection of all subsets is known as a power set.