| Places | Ones | Tenths | Hundredths | Thousandths | Ten Thousandths | |
|---|---|---|---|---|---|---|
| 1 | ||||||
| Number | 0 | . | 1 | 6 | 2 | 5 |
| Rounded Number | 0 | . | 1 | 6 | 3 |
- 2 is in the thousandths place and 5 is in the ten thousandths place
- Since the digit in the ten thousandths place (5) is greater than or equal to 5, add 1 to the digit in the thousandths place (2)
- 1 + 2 = 3, so the digit in the thousandths place becomes 3
- The digit in the ten thousandths place is dropped
- 0.1625 rounded to the nearest thousandth (three decimal places) = 0.163
