UT austin

So I am wanting to apply for nursing fall 2019 as an external transfer from my local CC. Right now I am working on bringing my GPA up, taking the required pre reqs chemisty, biology and statistics and building a strong resume.

the only problem is I failed a class back in the day and it is really dragging my cumulative gpa down.

I know UT takes the average of the two so essentially if I made an A i would still only earn a C.
how does that work? would the C replace the failed grade but still show on my transcript or would both the C and F be calculated into my GPA. mind you this class isnt even on the undergraduate degree plan so I would be taking it for the sole purpose of bring up my gpa.