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The gated clock IS the output of the And gate. One and the same. So again this will cause a reset on each transition of the (gated) clock, and no division will occur.
-- jamos

"Gated clock" is just the signal in that particular patch example, where they are using the AND to combine a clock signal and a gate signal before patching it to the CLOCK input, instead of letting it go to the RESET via the normal (which is broken by patching RESET to 8)