Find closest multiple of $120$ to $268$. We see that $2 \times 120 = 240$ is the nearest. Now subtract $240$ from $268$ to get reminder $28$. Add $2$ to quotient.
Since $28$ is less than $120$, stop the division. The reminder is $28$. The topmost line $002$ is the quotient. Remove all zeros at the start of the quotient to get the actual quotient $2$.