Paula now weighs 62 kilograms.
1 kilogram = 1000 grams
65.5 kilograms * 1000 grams = 65,500 grams
65500 grams - 3500 grams = 62000 grams
62000 grams * (1 kg/1000g) = 62000kg/1000 = 62 kilograms
OR
3500 grams * 1kg/1000g = 3500kg/1000 = 3.5 kilograms
65.5 kilograms - 3.5 kilograms = 62 kilograms