Step 1: Displacement of centre of wheel.
For half rotation, the centre moves a horizontal distance equal to half the circumference:
\[
x = \pi R = \pi \times 2 = 2\pi \,\text{cm}
\]
Step 2: Vertical displacement of point $P$.
Initially, point $P$ is at the bottom. After half rotation, it comes to the top.
Vertical displacement:
\[
y = 2R = 4 \,\text{cm}
\]
Step 3: Resultant displacement.
\[
\text{Displacement} = \sqrt{x^2 + y^2}
= \sqrt{(2\pi)^2 + 4^2}
\]
\[
= \sqrt{4\pi^2 + 16} = 2\sqrt{\pi^2 + 4}
\]
Step 4: Conclusion.
The displacement of point $P$ is $2(\pi^2 + 4)^{1/2}$ cm.