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To answer that definitively, we'd have to know the value of xz.

When rounding to a specific place, take a look at the digit immediately to the right of the target, in this case, the thousandths place. If that digit is 4 or less, zero everything to the right of the target out. If that digit is 5 through 9, increase the target by one and zero everything to the right of it out. If the target is a 9, increasing it will turn it to zero and increase the digit to the left of the target by one.

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Q: What is xz rounded to the nearest hundredth of an inch?
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