Sorry to bring this thread back alive. However, I want to clarify just to prevent any further confusion to future readers.
1. Yes, you do round your answer off to the LEAST SIGNIFICANT FIGURE in the question. For official HSC question, the values in the question "usually" have the same significant figures.
2. WHAT IS CONSIDERED SIGNIFICANT FIGURE IN CHEMISTRY IS DIFFERENT TO WHAT IS CONSIDERED SIGNIFICANT FIGURE IN MATHEMATICS.
Example 1: 340.0 g is considered 4 significant figures in chemistry.
340 g is considered 2 significant figures in chemistry.
This is because we know that the above figure cannot be 340.1 or something, however the figure below could be. Another way to look at it, is to change it to index notation. 3.400 x10^2 is 4 significant figures.
Example 2: 0.1042 g is considered 4 significant figures.
0.0042 g is considered 2 significant figures.
This is because 0.0042 g could be changed to 4.2 x10^-3 g which is 2 significant figures.
Another example combining the two examples, are 0.020100 (the index notation is 2.0100 x10^-2). There are only 5 significant figures there. 2 0 1 0 0
That's how I looked at it in my HSC year. I do know people who say that it's the LOWEST NO. OF DECIMAL PLACES (like my chemistry head teacher). However, I believe it's the lowest significant figure. Please correct me if I'm wrong.