It depends on the context.
If the students are acting individually, then "are" is correct:
Three-quarters of the students are failing the class.
If you are referring to a single collective entity then "is" is correct:
Three quarters of the students is an unacceptable number of failures.
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No, three quarters is more than two quarters.
Assuming the question refers to 5 and three quarters, there are 20 quarters in 5 and three more so 23.
11 quarters
23 quarters
3