Identify the underlined place and 27.3856. Then round the number to that place.

Based on the positiion of the underlined decimal places, the underlined number is in the hundredths place.
Rounding it off, next to 8 in the hundredths place is 5 in the thousandths place.
If the number is 5 or greater, we add 1 to the previous decimal place therefore it is rounded to 27.39