To modify a MOD-8 counter into a MOD-16 counter, we need to add an additional flip-flop to increase the number of states from 8 to 16. This new flip-flop will be connected to the output of the existing MSB flip-flop, effectively adding an additional bit to the counter. The connections between the flip-flops will need to be modified to ensure that the counting sequence follows a MOD-16 pattern.Once the MOD-16 counter is constructed, we can connect the MSB output to the multiplexer E input. This will allow us to select between the MSB output and the final bit of the counter, depending on the state of the select input.Here is an example schematic of a MOD-16 counter with a multiplexer connected to the MSB output:In this schematic, FF-1, FF-2, and FF-3 represent flip-flops, and MUX represents a multiplexer. The MSB output from FF-3 is connected to the select input of the multiplexer, and the Z output is taken from the output of the multiplexer.