01 - Preheat oven to 350°F. Grease and flour two 8-inch round cake pans.
02 - Whisk together flour, baking powder, baking soda, and salt in a medium bowl.
03 - Beat butter and sugar until light and fluffy. Add eggs one at a time, then vanilla.
04 - Alternate adding flour mixture and milk to creamed mixture, beginning and ending with flour. Mix until just incorporated.
05 - Divide batter between prepared pans. Bake 22–25 minutes until toothpick inserted in center emerges clean.
06 - Let cakes rest in pans 10 minutes, then invert onto wire racks to cool completely.
07 - Beat butter until smooth. Gradually incorporate powdered sugar, vanilla, salt, and sufficient milk to achieve spreadable consistency.
08 - Keep one cake round intact for face. Cut second round into two equal ovals for ears and remaining center into bow tie shape.
09 - Position face, ears, and bow tie on large serving tray.
10 - Spread thin frosting layer over cake pieces. Refrigerate 20 minutes to set.
11 - Frost cake completely and press shredded coconut over surface for fur. Tint small coconut amount with pink coloring for inner ears.
12 - Use fondant or marshmallows for ears. Place candies for nose, eyes, and additional decorations as desired.