Lets calculate the initial speed of the block. We know that kinetic energy is given by:

Solving for v₀:

If the speed after it hits a wall is half its original speed then:
v = v₀/2 = 2 m/s / 2 = 1 m/s
Then the kinetic energy at this point is:

The inetic energy of this object at this point is 0.5 J.