The correct answer is D) 0°04'. To convert 0 minutes and 16 seconds into arc units, we need to recognize that 1 minute (') is equal to 1/60th of a degree (°), and 1 second (") is equal to 1/3600th of a degree. Therefore, 0 minutes and 16 seconds is equivalent to 0°(0 * 1) + 4'(16 * 1/60) = 0°04'. The other options are incorrect because: A) 0°16' is equal to 16 minutes, not 16 seconds. B) 0°01' is equal to 1 minute, not 16 seconds. C) 0°32' is equal to 32 minutes, not 16 seconds.