I don't see neither how 7g NO should produce 11g O2.
Nope, in fact 7 grams of NO equates to 0.23 mols. This means that the most O that can be produced is 0.23 mols.
But in your equation it states 2 mols of NO, which yeilds 2 mols of O, or one mole of O2.
One mole of O2 has a mass of 32 grams. The fact that you only got 11 grams of O2 and not 32 indicates a loss. So calculate the percent yeild of O2
Actual yeild / theoretical yeild
= 11/32 = 0.34 x 100 = 34%
Not the exact same answer so I suspect the teacher was using more precise molar masses.
I'm not sure what's with the 7 grams of No, when it states in the equation that 2 moles were used. That's just sloppy stoichiometry