1. The problem is to understand the placement of the decimal point in the number 7.12. 2. The number 7.12 has a decimal point after the digit 7, which means it is seven units plus twelve hundredths. 3. If the decimal point were after the 1, the number would be 71.2, which is seventy-one and two tenths. 4. Therefore, the decimal point in 7.12 is correctly placed after the 7, not after the 1. 5. To summarize, 7.12 means $7 + 0.12 = 7.12$, and moving the decimal point changes the value significantly.