Answer
Approximately 1760 NY stores are in large to medium areas.
Work Step by Step
The purpose of rounding is to simplify the math while coming up with a result that is reasonably close to the exact result. Front end rounding gives a result that is less exact than other rounding, and when working with fractions may not lead to the simplest math. Taking the denominator into account when rounding can help.
$\frac{4}{5}$ of the 2202 supermarkets in NY are in medium to large areas. Rounding to the hundreds position results in a number that is divisible by the denominator, 5, and a number that is closer to the actual number of stores.
$2202 \approx 2200$
$2200 \times \frac{4}{5}$ = $\frac{2200}{1} \times \frac{4}{5}$ = $\frac{8800}{5}$ = $\frac{8800 \div 5}{5 \div 5}$ = $\frac{1760}{1}$ = 1760