Blue Velvet Cake

Preheat oven to 350 degrees Fahrenheit.

Grease and flour 3 (8-inch) round pans.

In a mixing bowl, cream the sugar and butter, mix until light and fluffy.

Add the eggs one at a time and mix well after each addition.

Mix cocoa and food coloring together and then add to sugar mixture; mix well.

Sift together flour and salt.

Add flour mixture to the creamed mixture alternately with buttermilk.

Blend in vanilla.

In a small bowl, combine baking soda and vinegar and add to mixture.

Pour batter into pans.

Bake for 25 minutes, or until a toothpick inserted into the center comes out clean.

Remove from heat and cool completely before frosting.

FOR ICING: Blend cream cheese and butter together in a mixing bowl.

Add marshmallows and sugar and blend.

Fold in coconut and nuts.

Spread between layers and on top and sides of cooled cake.