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\frac{2^{2}\times 7^{2}}{8^{3}}
Cancel out 7 in both numerator and denominator.
\frac{4\times 7^{2}}{8^{3}}
Calculate 2 to the power of 2 and get 4.
\frac{4\times 49}{8^{3}}
Calculate 7 to the power of 2 and get 49.
\frac{196}{8^{3}}
Multiply 4 and 49 to get 196.
\frac{196}{512}
Calculate 8 to the power of 3 and get 512.
\frac{49}{128}
Reduce the fraction \frac{196}{512} to lowest terms by extracting and canceling out 4.