You need to look at the Time Frame of the history involved to get some answers.
C\PM was around since around 1976 or so on S100 systems on Z80 and 6800 CPUs (and later on the 68000). Apple came out in 1977 with the Apple II in '78/'79. Steve Wozinac developed both the hardware and software for the Apple II, in short making the Apple DOS 1.0 that evolved to Apple DOS 3.3 by the 1983 (or so). Since the Apple as cheaper than the S-100 it developed its own software library that C\PM already had.
Intergalactic Digital Research tried to make C\PM for the Apple but it was to expensive to buy. And many companies did not want to recompile all their Z80 C\PM software for the Apple 6502 system. Microsoft made the first Z80 C\PM card which made things easier to load up the C\PM Library and run it on Apple. this was around 1980. Despite a few glitches, it worked well. Glitches like - the C\PM Boot Disk being in Apple Format and not C\PM format. Disks used after that had to be C\PM Format.
By C\PM format I mean by so many sectors on so many tracks on the disk. The Apple DOS and C\PM disk formats were different. The Apple Disk Controller can be fooled to read/write what ever formats one needed; not bad for a disk controller that only had 6 chips on it while your average disk controller had over 50 and can only read 1 format. Correct me if I'm wrong, but I remember correctly Apple DOS had something like 13 sectors per track for 40 tracks on a 5.25in disk while C\PM had 16 sectors on 40 tracks; but I forget the sector sizes, I'm guessing 128 bytes per sector on Apple and 96 bytes on C\PM or something like that. It is because of these differences that complicated things. But Microsoft made it work and others copied it.
In a couple of years, the IIe would be coming out and Microsoft was aligning itself with IBM for the PC by stealing C\PM and releasing it as MS DOS. By 1984 C\PM systems were dying out when the IBM PC came out. C\PM still held on into the mid 90s but the popularity of the PC was its demise. At this time the Apple II software Library exceeded the C\PM Library; Apple had one thing that C\PM did not - High and Low Resolution Graphics; and by the time C\PM systems came out with Graphics, it was too late. So by the time the IIe came out, support for C\PM began to dwindle, more so for C\PM on Apple.
Apple ProDOS came out around '86, and had some backwards compatibility to keep the older programs that are Apple DOS 3.3 going. But it did not support anything else. Therefore support for C\PM on Apple disappeared.
You are running your C\PM card on a IIe and/or a IIgs. Its doable but not as simple as it would be on the II/II+. To have C\PM on Apple, you need to use DOS3.3 and not ProDOS. ProDOS has no support for C\PM Format, DOS 3.3 does only if you boot C\PM from it. This is why you need your C\PM Boot Disk in Apple DOS 3.3 format; ProDOS will not work. If you try to install C\PM Boot Disk onto a ProDOS Formatted disk, it will try to boot and then crash for one reason or another. This is why it will not work.