Answer
$Fe$ is oxidized, and the $Cu^{2+}$ in $CuSO_4$ is reduced.
Work Step by Step
1. Rewrite the equation to show the ions and the atoms:
$Fe(s) + Cu^{2+}(aq) + S{O_4}^{2-}(aq) --\gt Fe^{2+}(aq) + S{O_4}^{2-}(aq) + Cu(s)$
2. Analyze what happens to each atom/ion during the reaction.
During this process, These are the charge increases/decreases:
$Fe --\gt Fe^{2+}$: The increase in charge indicates that $Fe$ is oxidized.
$Cu^{2+} --\gt Cu^0$: The decrease in charge indicates that $Cu^{2+}$ is reduced.
