The length of the shirt fabric is L=20 yards.
The requirement of each shirt is t.
[tex]\begin{gathered} t=2\frac{3}{4}\text{ yards} \\ =\frac{2\times3+3}{4}\text{ yards} \\ =\frac{11}{4}\text{ yards.} \end{gathered}[/tex]The number of shirts can be determined as,
[tex]\begin{gathered} N=\frac{L}{t} \\ =\frac{20\text{ yards}}{\frac{11}{4}yards} \\ =20\times\frac{4}{11} \\ =\frac{80}{11}\approx7 \end{gathered}[/tex]Thus, the required number of shirts is 7.
Thus, option (B) is the correct solution.