When the second digit is 1, third digit can be 0, i.e., there is one such number.
When the second digit is 2, third digit can be 0 or 1, i.e., there are 2 such numbers.
When the second digit is 3, third digit can be 0, 1 or 2, i.e., there are 3 such numbers, and so on.
When the first digit is 7, second digit can be 1, 2, 3, 4, 5 or 6
So, there are (1 + 2 + 3 + 4 + 5 + 6) = 21 such numbers between 700 and 799
When the first digit is 8, second digit can be 1, 2, 3, 4, 5, 6 or 7
So, there are (1 + 2 + 3 + 4 + 5 + 6 + 7) = 28 such numbers between 800 and 899
When the digit is 9, second digit can be 1, 2, 3, 4, 5, 6, 7 or 8
So, there are (1 + 2 + 3 + 4 + 5 + 6 + 7 + 8) = 36 such numbers between 900 and 999
Hence, the required number
= (21 + 28 + 36)
= 85