As a Frasier/Niles and Daphne fanatic, I was SO happy to see that they are featured at the end of this Caroline and the City episode! I had read that they played themselves but until I actually saw the episode, I was convinced that they were a part of the actual show.

Turns out that the scene takes place in Frasier's living room and they are completely in character. It's absolutely adorable! It takes place at the very end of the show so there's nothing here that would be spoiler-y, I hope! But here are few pictures that I found on DHP's website....

http://www.davidhydepierce.org/coppermine/albums/userpics/10001/normal_vlcsnap454109vo0.png

http://www.davidhydepierce.org/coppermine/displayimage.php?album=21&pos=9