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Di and Leo both write the decimal 2.55555555.. As a fraction.

Di’s fraction: 2 55/100
Leo’s fraction: 2 55/99

Leo is correct because a repeating decimal typically has 9s in the denominator

Who is correct and why?

Leo is correct. A repeating decimal can be written as a fraction by placing the repeated digit(s) after the decimal point over a denominator that consists of a string of 9s, with the number of 9s equal to the number of repeated digits. In this case, since the decimal 2.55555555.. has one repeated digit (5), the fraction form would be 55/99. Di's fraction, 55/100, is incorrect because the denominator does not consist of a string of 9s.