The distance that Lil travels during the first half of the race is 0.327 kilometer. This rounded to three decimals places meaning it is rounded to the thousandth place
Now we want to express this rounded to the hundredth place. This means we want to express the answer (0.327) rounded to two decimal places
0.327 kilometer = 0.33 kilometer (rounded to two decimals)
This is because the the third decimal is greater than 5 and hence we increment the second decimal to the next number.
The distance he travels in the first half of the race,rounded to the nearest hundredth = 0.33 kilometers