Adding numbers using only the significant digits can introduce inaccuracies, for example if you are adding pi ten times using 4 decimal places of pi the answer is 31.416 but the right answer is 31.4159 . .
Subtracting can give quite bad errors especially when two nearly equal numbers are subtracted. So for subtraction it's best to use more significant figures and round the answer to the required number of digits afterwards.
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The significant digits are: 3701; so there are four such digits in the measurement. These are the digits that convey the degree of precision included. Leading zeroes and trailing zeroes do not add such meaning.
Add the digits together. The sum of the digits of 23 is 5.
No, it is not true. They reflect the precision of the number in the context of its use. If required to calculate the population density of Greater London in 2011, I would use the population in millions - not because that is the limit of the accuracy of the census results but because greater accuracy does not add significant value to the precision of the population density.
7
They add up to 9