Add from rightmost place value. Regroup when a column totals 10 or more.

Hundredths	=	3 + 7 = 10 hundredths = 1 tenth + 0 hundredths
Tenths	=	3 + 6 + 1 (carry) = 10 tenths = 1 one + 0 tenths
Ones	=	6 + 1 + 1 (carry) = 8
Sum	=	8