The equation that you put is correct
This answer is already to the nearest tenth. The 5 is in the tenth's place.
Just make 1 3/4 an improper fraction and multiply by 4:
1 3/4 = 7/4
7/4 * 4 = 7
190/5 = 38
So, they can make 38 quarts in an hour.
38 * 36 = 1,368
They can make 1,368 quarts in 36 hours.