No. 1 is actually correct. Nice work!
In No. 2, it's much easier to tackle the problem sentence by sentence. In the first sentence, we are given that Val has 6 yards of fabric. In the next sentence, we are given that she uses 1/3 of that piece of fabric to make a shirt. Let's calculate how much she has left now.
6 x (1/3) = 2
Val used up 2 yards, meaning she has 4 yards left.
The next sentence indicates that she uses 3/8 of what she has left, which is 4 yards of fabric. We can apply the same method as the first step.
3/8 x 4 = 3/2
She used up 1.5 yards to make a shirt for her sister, meaning she has 2.5 yards left.
Final Answer: 2.5 yards of fabric