Dude.... that's your "ROM"... "read only memory".... like as in "gingerbread 2.3.4"
so you're looking at your ROM storage..... gingerbread is 335MB.... and you have 11MB free...
It has nothing to do with your RAM or speed or any of that....
It's the future home of your new ROM..... CyanogenCream 4.2.0
So you saw what I did there... I was hoping somebody would catch that....
I was like "hello... testing 1, 2, 3.... is this thing on?"