the first number after the decimal point is the tenths place, making the next one (2nd) the hundredths.
We have to round to the hundredths, so we look at the next one over to the right. Because 6 is greater than or equal to 5, (greater than) we have to round up. That makes the 7 an 8, and the 6 disappears. So we get our final answer:
1.18
