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\begin{array}{l}\phantom{34)}\phantom{1}\\34\overline{)78}\\\end{array}
Use the 1^{st} digit 7 from dividend 78
\begin{array}{l}\phantom{34)}0\phantom{2}\\34\overline{)78}\\\end{array}
Since 7 is less than 34, use the next digit 8 from dividend 78 and add 0 to the quotient
\begin{array}{l}\phantom{34)}0\phantom{3}\\34\overline{)78}\\\end{array}
Use the 2^{nd} digit 8 from dividend 78
\begin{array}{l}\phantom{34)}02\phantom{4}\\34\overline{)78}\\\phantom{34)}\underline{\phantom{}68\phantom{}}\\\phantom{34)}10\\\end{array}
Find closest multiple of 34 to 78. We see that 2 \times 34 = 68 is the nearest. Now subtract 68 from 78 to get reminder 10. Add 2 to quotient.
\text{Quotient: }2 \text{Reminder: }10
Since 10 is less than 34, stop the division. The reminder is 10. The topmost line 02 is the quotient. Remove all zeros at the start of the quotient to get the actual quotient 2.