Preheat oven to 350 degrees Fahrenheit.

In a bowl of an electric mixer, beat eggs, oil and vanilla extract. In another bowl, combine all the dry ingredients. Slowly add into the wet ingredients and mix. Add carrots, nuts and coconut. Mix for only 20 seconds more, just to combine.

Pour the batter into a well-greased eight-inch pan (round or square) and bake 40 minutes, or until a toothpick inserted into the centre comes out clean. Cool completely.

Mix all ingredients together until creamy.

Cut the cake in half horizontally and place one cake layer on a platter. Spread a cupful of the frosting over the cake and top with the second cake layer.

Spread the remaining frosting on the top and sides of the cake.

Garnish with walnut halves if desired.