Yes, a wheel with those dimensions would be fine. You should check on the offset though, a 7.5" wide wheel on a W202 should be ET34.
You may have some fun finding tyres for that size of wheel, I had worked out that 225/50/16 would work perfectly but it seems like there is little choice in that size! 205/55/16 is what MB fit to 16x7" rims but you'd only have half an inch of rim protection from a tyre like that.