schweser exam 2 pm 112 - real appr? really, minute, question, someone

Kapie

last minute question if anyone can help.

not really understanding the reasoning behind the answer. Nominal spot rate in one year is .350 C/$ and implied Future spot rate is 0.476 based on inflation rates and spot rate one year ago.

Doesn't this mean C appreciated in real terms?

obviously not, but can someone explain to me why.