first, find the area of the rectangle shape: 7cm x 7cm = 49 cm^2
then, find the area of the two half circles, which makes a full circle. the formula to use is (pi)(r^2).
plug in 3.5 cm as the radius (need to divide diameter, 7 cm, by 2): (pi)(3.5^2) = 12.25pi = 38.48 cm^2
49 cm^2 - 38.48 cm^2 = 10.52 cm^2
area of shaded region: 10.52 cm^2