Rounding 12.3456 to two decimal places yields which value?

• A. 12.34
• B. 12.356
• C. 12.345
• D. 12.35

Answer: (D)

Rounding to two decimal places means keeping two digits after the decimal and looking at the third digit to decide whether to bump the second one. In 12.3456, the second decimal place is 4 and the third decimal place is 5. Since that third digit is 5 or greater, you increase the second decimal digit from 4 to 5, giving 12.35. If the thousandths digit were smaller than 5, it would stay 12.34. The other options either show more decimals or reflect truncation rather than proper rounding.