How can 2 go in to 27??

It means that if you have 27 lollies, how do you divide them equally between you and your friend.

Well you can have 13 lollies each but there is 1 left over.  you will have to cut that one in half and have a half each. 

SO

$$27\div 2 = 13\frac{1}{2}$$

you get 13 and a half lollies each :)

If  27  is divided by  2, the quotient will be  13, with a remainder of 1.

This is  13 1/2  or  13.5.