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\begin{array}{l}\phantom{16)}\phantom{1}\\16\overline{)76}\\\end{array}
Use the 1^{st} digit 7 from dividend 76
\begin{array}{l}\phantom{16)}0\phantom{2}\\16\overline{)76}\\\end{array}
Since 7 is less than 16, use the next digit 6 from dividend 76 and add 0 to the quotient
\begin{array}{l}\phantom{16)}0\phantom{3}\\16\overline{)76}\\\end{array}
Use the 2^{nd} digit 6 from dividend 76
\begin{array}{l}\phantom{16)}04\phantom{4}\\16\overline{)76}\\\phantom{16)}\underline{\phantom{}64\phantom{}}\\\phantom{16)}12\\\end{array}
Find closest multiple of 16 to 76. We see that 4 \times 16 = 64 is the nearest. Now subtract 64 from 76 to get reminder 12. Add 4 to quotient.
\text{Quotient: }4 \text{Reminder: }12
Since 12 is less than 16, stop the division. The reminder is 12. The topmost line 04 is the quotient. Remove all zeros at the start of the quotient to get the actual quotient 4.