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Decimal place rounding vs truncating

Our engineering manager asked me recently if we could change decimal place of certain characteristics on the report to either 3 places or 4 places, but not necessarily have the entire report be one or the other. Like some characteristics would be three places and some might be four places. So I told him that we can certainly do that. Then he asked if when we changed a characteristic from 4 places down to 3 places, does it round or truncate? I told him that I think that it rounds, but I'm not sure. Does anyone have any insight into this?
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