To find out how much Jamal will earn in 7 years if he continues at the same rate of pay of $125,000 per year, the correct equation is:
\[ y = $125,000 \times 7 \]
This means that in 7 years, he will earn:
\[ y = 125,000 \times 7 \]
So, the first option is the correct equation to calculate his total earnings over 7 years.