Final answer:
The phrase 'packed in like sardines' indicates that you are in a crowded room, not a spacious one. It refers to the high density of people in a limited space.
Step-by-step explanation:
If you and your friends are "packed in like sardines," you are definitely in a crowded room. This idiom means that the space is so tight that people are standing very close together, much like how sardines are tightly arranged in a can. Overcrowded events, such as a sold-out concert in a stadium or a popular family gathering in a small home, often result in situations where attendees are packed in very close proximity to each other, just like sardines. This can be due to a high demand for space in an area with limited capacity, and it's a common scenario found in cities where housing and public spaces can be scarce and in high demand. The expression doesn't imply anything about the quality of the living conditions, but rather, it focuses on the density of the people in a given space.