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\begin{array}{l}\phantom{40)}\phantom{1}\\40\overline{)70}\\\end{array}
Use the 1^{st} digit 7 from dividend 70
\begin{array}{l}\phantom{40)}0\phantom{2}\\40\overline{)70}\\\end{array}
Since 7 is less than 40, use the next digit 0 from dividend 70 and add 0 to the quotient
\begin{array}{l}\phantom{40)}0\phantom{3}\\40\overline{)70}\\\end{array}
Use the 2^{nd} digit 0 from dividend 70
\begin{array}{l}\phantom{40)}01\phantom{4}\\40\overline{)70}\\\phantom{40)}\underline{\phantom{}40\phantom{}}\\\phantom{40)}30\\\end{array}
Find closest multiple of 40 to 70. We see that 1 \times 40 = 40 is the nearest. Now subtract 40 from 70 to get reminder 30. Add 1 to quotient.
\text{Quotient: }1 \text{Reminder: }30
Since 30 is less than 40, stop the division. The reminder is 30. The topmost line 01 is the quotient. Remove all zeros at the start of the quotient to get the actual quotient 1.