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\begin{array}{l}\phantom{17)}\phantom{1}\\17\overline{)32}\\\end{array}
Use the 1^{st} digit 3 from dividend 32
\begin{array}{l}\phantom{17)}0\phantom{2}\\17\overline{)32}\\\end{array}
Since 3 is less than 17, use the next digit 2 from dividend 32 and add 0 to the quotient
\begin{array}{l}\phantom{17)}0\phantom{3}\\17\overline{)32}\\\end{array}
Use the 2^{nd} digit 2 from dividend 32
\begin{array}{l}\phantom{17)}01\phantom{4}\\17\overline{)32}\\\phantom{17)}\underline{\phantom{}17\phantom{}}\\\phantom{17)}15\\\end{array}
Find closest multiple of 17 to 32. We see that 1 \times 17 = 17 is the nearest. Now subtract 17 from 32 to get reminder 15. Add 1 to quotient.
\text{Quotient: }1 \text{Reminder: }15
Since 15 is less than 17, stop the division. The reminder is 15. The topmost line 01 is the quotient. Remove all zeros at the start of the quotient to get the actual quotient 1.