Set 3 decimal places for points on a grade
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How do I set an assignment to 3 decimal places for a grade?
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The number of displayed decimal places is not a configurable option.
You can enter grades with more than 2 decimals and the extra digits are kept internally and used that way in calculations, but they are only displayed with 2 decimal places. That can be confusing to students who don't see that third decimal place, yet it affects their grade.
If you are using a weighted gradebook and need three decimals, then you can scale all of your assignments in that category by a factor of 10. Instead of having a 100 point assignment where a student scores 87.328 (which looks to them like 87.33), you have a 1000 point assignment where the student scores 873.28.