If the measurement is recorded as 8.735 ml what is the smallest marking on the instrument

The value 1 place to the right of the decimal point is the tenths digit. 
The value 2 places to the right of the decimla point is the HUNDREDTH digit. 

We are accurate to the hundredth digit. (8.7"5") 

The smallest marking on the instrument must be the 1/100 mL place. 

1/100 mL

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